Tesco confirms speculation that CFO is quitting board

4th Apr 2014 16:07

Tesco has confirmed speculation that Laurie McIlwee, its Chief Financial Officer and Executive Director, has decided to step down from the board and resign from the company. A search for his replacement has begun, with both internal and external applicants being considered.After 14 years with the company, he "has agreed to remain in his role to ensure a smooth handover to his successor", the supermarket giant said.Chairman Sir Richard Broadbent issued a statement which read: "Together with Philip and the wider team, Laurie has played an important role in our process to transform Tesco and position it to be a winner in the new era of retailing. I and the board wish him every success for the future."His departure comes amid falling profits and a recent decline in market share, and leaves Chief Executive Philip Clarke as the only executive director left on Tesco's board.According to sources cited by the Financial Times, McIlwee has "clashed" with Clark over some areas of the company's strategy.For his part, McIlwee said: "I am proud of what we have achieved at Tesco over the last few years. However, after 14 years at Tesco I feel that now is the right time for me to pursue new opportunities. "I wish Philip and the team well and I am absolutely confident that Tesco will emerge from the current period of unprecedented change in the industry stronger than ever." Shares were down 1.68% to 286.80p following the announcement on Friday afternoon. NR