L&G unhappy with M&S boardroom changes
by Gill Montia
Story link: L&G unhappy with M&S boardroom changes
Legal & General (L&G) has voiced its dissatisfaction with changes to the Board of Marks & Spencer (M&S), announced this week.
L&G is the retailer’s second largest shareholder and is unhappy with the prospect of Sir Stuart Rose, M&S’s chief executive, taking up the role of executive chairman when Lord Burns departs later this year.
A spokesman for M&S has responded to the criticism, stating: “Corporate governance rules recognise that we can comply or explain. We are clearly explaining the basis of our announcement and believe what we have done is in the interest of shareholders. We have spoken to half our institutional shareholders. They are all – bar one – broadly supportive.”
The boardroom shake-up, which occurred on Monday, included placing additional responsibilities with M&S’s finance director, Ian Dyson, and its head of clothing, Kate Bostock.