Search
The Caterer

UK turnaround

16 September 2004
UK turnaround

Sodexho Alliance chief executive and chairman Pierre Bellon has warned it will take another three years for the company to restore its margins in its UK operations.

The subsidiary is still recovering from "serious errors of management" uncovered in 2002, since when it has been axeing unprofitable contracts.

Initial predictions at the time were that it would take between two to three years to restore the margins.

His comments, to French newspaper Les Echos, were made as the contractor announced that from September next year it intends to split the two top jobs, once Bellon steps down from the day-to-day running of the business.

Chief operating officer Michel Landel will become chief executive and Bellon will stay on as chairman.

Jean-Michel Dhenain, the company's other chief operating officer but overlooked for the top job, has said he will retire at the end of 2005, although he will continue to work for Sodexho as an advisor.

Bellon said: "I am very happy with the board's decision, which represents the culmination of a two-year process."

by Nic Paton

Buy this week's Caterer magazine for more industry news and analysis

The Caterer Breakfast Briefing Email

Start the working day with The Caterer’s free breakfast briefing email

Sign Up and manage your preferences below

Thank you

You have successfully signed up for the Caterer Breakfast Briefing Email and will hear from us soon!