Unilever streamlines dual structure
Thursday, 10 February 2005Anglo-Dutch giant Unilever today swept away its dual-management structure and said its number one priority was to restore top-line sales growth after largely flat 2004 profits and earnings.
The food and consumer goods group plans to end its 75-year history of two chairmen and two boards making Dutch co-chairman Antony Burgmans non-executive chairman while Frenchman Patrick Cescau, the UK co-chairman, becomes group chief executive.
The Dove soap, Lipton tea and Knorr soups group reported 2004 net profits before exceptional items and amortisation of goodwill and intangibles rose 1% to €3.97 billion, which represented a 4% rise when taken at constant exchanges rates.
The group said it would focus on improving total shareholder returns and reconfirmed its aim to be in the top third of its peer group on this measure, while it expected an improvement on its return on invested capital.
Unilever has suffered nearly two years of sluggish sales and earnings growth which culminated in September in a profits warning indicating underlying earnings would grow less than 5% on a constant currency basis.
