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All change at Campari

Friday 24 February 1995 19:02 EST
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All change at Campari

A boardroom clear-out at Campari has seen the removal of Christopher Cheng, chairman, Kit Maunsell, chief executive, and David Palmer, managing director. The restructured business will be headed by Pelham Allen, currently deputy chairman of FW Morgan, a South Wales timber importer and distributor, who previously worked at Ewbank Preece, the civil engineering company.

Profits at Campari have fallen from a high of £5.27m in 1991 to losses of £8.6m in 1993 and £4m in the first half of 1994. The company has been hit by problems concerning the design of attractive ski-wear, the management of its complicated currency position and the pressures of a more competitive retail environment.

Shares in the company were suspended two weeks ago pending the result of a fundamental reorganisation. The company refused to comment, but it is believed institutional shareholders have grown exasperated with management inaction and have forced the changes as a price for the restructuring. Mr Cheng, who owns a 20 per cent stake in the company, and Mr Maunsell, his associate, will remain as non-executive directors.

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