somebody been reading our mouchel blog today? mr simon fox finally does the honourable thing and resigns (shame its after destroying £1bn of shareholder value)

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Todays RNS from HMV – 

HMV Group plc today announces the appointment of Trevor Moore as Chief Executive in succession to Simon Fox.

Trevor Moore joins from Jessops where he was Chief Executive until recently and he has a strong track record in consumer facing businesses including hsbc and Whitbread.

Simon Fox has decided to leave HMV after six years as CEO. He will remain in post until Trevor Moore arrives on 3 September to ensure a smooth handover.

Philip Rowley, HMV Chairman, said: “On behalf of the Board, I want to thank Simon for his contribution to HMV. He has led the Company through a turbulent period for the entertainment retailing industry and has played an invaluable part in securing HMV’s future, not least by strengthening relations with suppliers and successfully refinancing HMV’s bank borrowings.

“We are delighted to have recruited someone of Trevor’s calibre. He has the right skills and experience to lead HMV in the coming years.”

Trevor Moore said: “HMV is a great company and a fantastic brand and I look forward to building on its position as the UK’s leading entertainment retailer.”

Simon Fox said: “I am proud to be leaving HMV with a profitable future secured. The appointment of Trevor Moore means that I will be leaving the Company in safe hands.”

Mr Simon Fox

Although the RNS is typical corporate verbose, I am sure there are many HMV shareholders choking on their cornflakes this morning on the line about playing an “invaluable part in securing HMV’s future” – you have got be kidding?!!! The guy brought the company to its knees and the Group was only bailed out due to the largesse of the music industry who got behind it and the banks although they did, in the process, extract the near last vestiges of value. Similarly, Fox was forced to give away Waterstones for a fraction of what he paid for it. It really does beggar belief…

For what it’s worth, SBM thinks that HMV does actually offer value here and if they achieve the debt pay down they hope to and deliver the £10m of PBT for 2012/13 then it is likely that a corporate vulture will swoop and finally put shareholders out of their misery.

Here is Mr Fox’s legacy in pictures (which speaks a thousand words) –

Parting thought – Fox’s ‘take’ from the company during his tenure – in excess of £3m, shareholder wealth decimation including debt burden – £1bn. Somebody explain that one to me…?! Again, vested interest, old boys club 1 – private investor nil.

I pity any company Mr Fox pitches up at.

Editor

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