More change at the top of M&S as finance boss  exits for ABF

Marks & Spencer’s chief financial offer Eoin Tonge is set to become the latest senior figure to leave the retailer.

Tonge had been handed new responsibilities just weeks ago, having also been named M&S’s chief strategy officer upon the departure of long-time chief executive Steve Rowe.

But Tonge will now join Primark-owner Associated British Foods as its new finance director, leaving M&S in November after two years with the firm.

M&S shares are down more than 40 per cent since the start of 2022 

Rowe, who is widely credited with a performance turnaround of M&S, retired in May, and was replaced by now-co-chief executives Stuart Machi and Katie Bickerstaffe – formerly head of food, and head of clothing and online sales, respectively.

At the time, M&S said Machin, Bickerstaffe and Tonge would together be charged with ‘shaping the future’ of the retailer.

M&S chair Archie Norman said on Thursday Tonge had ‘made a great contribution to the transformation’ of the retailer, ‘bringing quality and rigour to the finance function and building a very strong team’.

He added: ‘Our financial controls, reporting, and financial discipline are in a far stronger place than when he arrived. Under his guidance, we have restored the balance sheet and created a strong platform for the next phase.’

At ABF Tonge will replace current finance director John Bason, who is retiring.

ABF boss George Weston said Tonge’s ‘extensive knowledge and experience of both retail and food industries along with his energy and broad understanding of business make him an ideal successor’.

Tonge added: ‘The M&S I leave behind is undoubtedly stronger and more resilient than the M&S I found. 

‘My priority now is to ensure a smooth handover to Stuart and Katie and the wider leadership, and I have every confidence that M&S will flourish, as they reposition the business for future growth.’

M&S shares slipped 1.5 per cent to 141.2p in morning trading.

The retailer’s shares are down more than 40 per cent since the start of the year, with investors seemingly unimpressed with the fallout since Rowe’s departure.

Nearly 30 per cent of investors opposed its pay policy at its annual general meeting earlier this year, when the firm offered up a £1.6million bonus for Rowe on top of his £1million of fixed pay and other benefits.

The bumper payday was branded ‘inappropriate’ by shareholder advisory firm Glass Lewis, which highlighted M&S had paid its executives bonuses worth 190 per cent of their base salary in 2021 despite benefiting from £62.2million of taxpayer support during the year and not paying dividends to shareholders.

This post first appeared on Dailymail.co.uk