Carrefour shares rise on report of chief’s exit

3rd February 2005, Comments 0 comments

PARIS, Feb 3 (AFP) - Shares in French hypermarket group Carrefour posted solid gains Thursday following a report saying that chief executive Daniel Bernard was about to step down.

PARIS, Feb 3 (AFP) - Shares in French hypermarket group Carrefour posted solid gains Thursday following a report saying that chief executive Daniel Bernard was about to step down.

Shortly after the opening of trading here, the prices of Carrefour shares was showing a gain of 2.99 percent at EUR 40.69 in a slightly lower market after a report in French business newspaper La Tribune said a change in Carrefour's management would be announced shortly.

It said the group's chief executive for the past 11 years, Daniel Bernard, and his second in command, Joel Saveuse, were to be poised to leave the group following a special board meeting.

The company said in a statement that it was holding a boarding meeting "to deal with organisation and the group's structures" without giving more details.

But a source close to the matter told AFP that Bernard would go, confirming the report in La Tribune.

Analysts at French bank Societe Generale said they had upgraded Carrefour to 'buy' from 'hold' following the reports, noting that such a change in management had been awaited given the current team's loss of credibility.

Although 2005 was still likely to be challenging for the group, in the broker's view, with a need to win back French customers in a difficult, competitive and economic environment, it argued a recovery was possible with a new, "hands-on" management team.

© AFP

Subject: French News

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