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UPDATE 1-Wal-Mart names China boss Clarke to run Britain's Asda

Mon, 13th Jun 2016 09:54

(Adds details)

June 13 (Reuters) - Wal-Mart has turned to the chiefof its Chinese business Sean Clarke to revive Asda, its Britishsupermarket group which has been the biggest casualty in anindustry price war that has hammered its sales for nearly twoyears.

The U.S. group said Clarke would take over from his namesakeAndy Clarke at Asda on July 11, tasked with repositioning thechain, which ranks third after Tesco and Sainsbury's, in the "very competitive" British marketplace.

The move comes as a surprise after Andy Clarke said lastweek that Roger Burnley would succeed him at some point afterthe incoming executive joins the firm in October. Asda poachedBurnley from rival Sainsbury's last year.

Wal-Mart International's president and chief executive DavidCheesewright said Burnley would be deputy chief executive, andhe viewed him as a "top talent and future chief executive".

Sean Clarke, who started his career at Asda in 2001, said hewas "looking forward to returning to the business that got himhooked on retail".

He rejoins a supermarket that has reported seven straightquarters of underlying sales declines, and a loss of marketshare, including surrendering its second place in the market toSainsbury's, according to industry data.

Asda has been the laggard among Britain's big foursupermarkets, which also includes Morrisons, as Germandiscount chains Aldi and Lidl havesuccessfully targeted British shoppers.

Andy Clarke has run Asda for six years.

Wal-Mart said last month it would shift the balance ofAsda's strategy from protecting profits to protecting marketshare, indicating more price cuts might be on the way.

The company also said Dirk Van De Berghe, CEO of Wal-MartCanada, will take over leadership of Walmart's China business. (Reporting by Parikshit Mishra in Bengaluru and Paul Sandle inLondon; Editing by Sunil Nair and Kate Holton)

Tesco Sainsbury's

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