Sainsbury's has announced that chief executive officer (CEO) Mike Coupe will be retiring after almost six years with the supermarket group.
Mike Coupe, CEO of Sainsbury's, is planning to step down this year after leading the supermarket group for almost six years. Simon Roberts, the head of Sainsbury's retail and operations, will be Coupe's successor.
Coupe, who oversaw a failed merger attempt with rival supermarket Asda during his tenure, said: "This has been a very difficult decision for me personally. There is never a good time to move on, but as we and the industry continue to evolve, I believe now is the right time for me to hand over to my successor."
The announcement was in contrast to Coupe's previous statement in May 2019 that he will be "sticking to the company" when asked whether he had been asked to step down after the failed merger.
Coupe will vacate the CEO position in May and will retire from the company in July. His retirement announcement comes a day after Sainsbury's said it was cutting "hundreds" of management roles to reduce costs.
According to the company, the job cuts were largely due to its integration of Argos, which it bought in 2016, into the business. Coupe's successor, Roberts, has been working on the integration of Sainsbury's and Argos and was also the former president of retailer Boot UK.
Coupe expressed his confidence in Roberts and said he was "the right choice for our customers, our colleagues and our investors".
The outgoing chief will continue receiving his £962,000 a year salary until his official departure. Meanwhile, Roberts will begin the role with a smaller £875,000 pay.
Concerns regarding Coupe's future with the firm started surfacing after the UK competition regulator blocked Sainsbury's proposed £7.3 billion merger with Asda. Prior to that he was caught on camera singing "We're in the money" while waiting for a media interview to discuss the deal.
