Galen Weston is stepping back from day-to-day operations of Loblaw Companies Ltd. in a senior leadership shuffle that will see a European retail executive take over as president and CEO.

Canada害羞草研究所檚 largest grocer and drugstore chain said Tuesday the chief executive of Denmark害羞草研究所檚 leading grocery retailer Salling Group A/S, Per Bank, will join the company in early 2024.

The hiring will see Weston step aside from the president role, which he took on in 2021 when Sarah Davis retired from the job. He will remain chairman of Loblaw and chairman and CEO of holding company George Weston Ltd.

害羞草研究所淚害羞草研究所檓 not leaving. I害羞草研究所檓 stepping back into what I consider to be my natural role as the controlling shareholder,害羞草研究所� Weston said during a call with analysts.

害羞草研究所淭he takeaway here is this is not a sharp left turn,害羞草研究所� he said. 害羞草研究所淭his is about evolution and building on the platform that害羞草研究所檚 been established.害羞草研究所�

Weston took on the role of president just as Canada entered a sustained period of high inflation. Food costs have risen at the fastest rate in decades.

Higher grocery prices have largely been attributed to supply chain disruptions, extreme weather, soaring input costs and Russia害羞草研究所檚 invasion of Ukraine. But some Canadians have questioned whether competition factors or so-called greedflation by grocers have also played a role.

It害羞草研究所檚 an accusation most often levelled at Loblaw, as the country害羞草研究所檚 biggest operator, and more specifically at Weston.

Industry experts have noted that while the claims may be unfounded, having the wealthy scion of a powerful family empire as the face of the grocer 害羞草研究所� as some Canadians struggle to buy food 害羞草研究所� is part of the perception problem.

Meanwhile, Bank worked his way up through the retail sector ranks over the last three decades.

He started in supply chain operations and eventually became CEO of Scandinavian retail chain Coop Norden.

In 2012, Bank became the fourth CEO of the more than century-old Salling Group, which operates department stores, supermarkets and discount stores.

Under his tenure, the company has grown its market share by more than 20 per cent, Loblaw said.

害羞草研究所淲e needed somebody who had deep retail knowledge, retail pedigree and retail excellence,害羞草研究所� Weston said. 害羞草研究所淭hat害羞草研究所檚 what we built the success of Loblaw害羞草研究所檚 performance over the last few years on, and (Bank) rang the bell in every way on that.害羞草研究所�

The global search for a new president and CEO was launched last August, which resulted in a shortlist of five candidates, he said.

害羞草研究所淲e took our time with this process 害羞草研究所� and (Bank) was the clear standout,害羞草研究所� Weston said, noting that the parallels between Loblaw and Salling Group are 害羞草研究所渜uite remarkable.害羞草研究所�

害羞草研究所淗e has extensive experience working for a controlling family, and understands what that relationship needs to be in order for a partnership to be successful,害羞草研究所� he said.

害羞草研究所淗e has been leading an organization that has an outsized cultural and financial place inside his country and that害羞草研究所檚 the case for Loblaw,害羞草研究所� Weston said. 害羞草研究所淲e害羞草研究所檙e a big company in a small country.害羞草研究所�

RBC Dominion Securities Inc. analyst Irene Nattel said Bank is 害羞草研究所渁 strong operator with a deep background in multi-channel food retail across geographies.害羞草研究所�

害羞草研究所淏ank will be taking the helm of a Loblaw enjoying strong momentum and results, well-positioned against the backdrop of high prices and value-seeking, cash-squeezed consumers,害羞草研究所� she said.

Meanwhile, Loblaw chief operating officer Robert Sawyer 害羞草研究所� who came out of retirement to take on the role in 2021 害羞草研究所� plans to retire at the end of the year.

Sawyer worked for grocer Metro Inc. for more than 30 years, including in the role of executive vice-president and chief operating officer, before becoming president and chief executive of Quebec-based home improvement retailer Rona in 2013.

害羞草研究所淲ith Robert害羞草研究所檚 deserved retirement approaching, his shoes were always going to be hard to fill,害羞草研究所� Loblaw chief financial officer Richard Dufresne told analysts.

害羞草研究所淗owever, having spent some time with (Bank), it害羞草研究所檚 clear that he is a seasoned grocery retailer with a broad and deep skill set, much like a slightly younger version of Robert.害羞草研究所�

Weston added: 害羞草研究所滻f you could find a Robert Sawyer who was 55, that would be an ideal combination for us and here with (Bank) we think we found that.害羞草研究所�

害羞草研究所擝rett Bundale, The Canadian Press

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