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December 31 this year.
Chairman Mr David Morgan announced the appointment at the company’s AGM.
Mr Brown decided to step down following a fall out with one of the founders Mr Zed Koudounaris. He has been at the helm of the group for the past four years.
The chairman did not give details on the resignation of Mr Brown while the incoming chief executive said he had no link whatsoever with the outgoing CEO’s retirement.
While market speculation is rife that the resignation of Mr Brown could have been triggered by a fraud detected by Colcom Limited, a subsidiary of Innscor, Mr Koumides said this was not true. But he hinted that some people would be prosecuted.
“People will be prosecuted. There has been some conjecture that this is something to do with Tom Brown’s departure. The fact of the matter is that is untrue,” he said.
All resolutions tabled at the AGM were passed without objections. In a trading update Mr Koumides said the company registered 25 percent growth year on year on its bottom-line on the back of continued volumes growth across the group’s units.
He said the groups’ revenues rose 7 percent in the three months to September 30 this year when compared with the previous comparable quarter. Mr Koumides said volumes in the bakeries were up 42 percent on last year with output currently around 500 000 loaves a day. He said two additional lines would be installed in December and January, which would lift production by another 80 000 loaves. These two lines were not the end of the group’s plans to increase capacity as a new bread roll making plant would also be installed, he said.
In fastfoods, one outlet had been refurbished in the quarter and four new were opened in Harare. Two outlets were opened in Zvishavane and there are plans to add Chivhu and Chegutu next year.
In the region, eight shops were opened in Kenya and agreements had been signed to roll out the franchises in Lesotho and Swaziland.
The reorganisation of Spar stores are continuing and expectations are that profitability may start beginning the end of the 2012 calendar. National Foods Limited was doing well with volumes up 20 percent and profits up by a larger amount.
Output of 460 000 tonnes was planned for this year. Output at Irvines was up last year across the board. Mr Koumides a new fridge line would be installed at Capri in the last half of the financial year.
Online Reporter