There was a huge upset at Debenhams on Thursday as a major shareholder lost patience with its top two execs. The result is that its chairman stepped down after the AGM and the CEO has been voted off the board.
Debenhams has named a new Chief Financial Officer, which may not be the most exciting news, but coming at a time when the firm’s finances are heavily under scrutiny due to its slow turnaround, it’s very important.
Press reports that Debenhams faces a virtual vote of no-confidence as a beauty service that it recently touted as one of its big new attractions seeks an exit strategy and a new investor have been denied by both firms.
Debenhams said this week that it could dispose of certain assets as it seeks to conserve cash and focus more intensely on fixing its core UK business, with analysts saying profitable Magasin du Nord could be sold.
Debenhams is going nowhere fast at the moment as tough trading conditions mean its recovery plan isn't delivering the results it wants, except on digital. The answer? A focus on cost cuts and carrying on with that plan.