David Bennett, group finance director of Alliance & Leicester plc, will become the company's Group Chief Executive with effect from 27 July 2007. This follows the announcement in February that Richard Pym, Group Chief Executive, had asked the Board to consider his successor, resulting in an extensive search process which considered a range of internal and external candidates.
Chris Rhodes, currently Managing Director, Retail Banking, will become Group Finance Director. The Retail Banking business will report directly to David Bennett, the Commercial Banking business will continue to report to Richard Banks.
Richard Pym retires from the Board on 27 July 2007.
Alliance & Leicester Chairman, Sir Derek Higgs, commented: "The search process we went through was extremely thorough, and we are delighted to appoint David Bennett as Alliance & Leicester's Group Chief Executive. In his eight years with the Group, David has continually proved himself to have outstanding leadership abilities and judgement. He has played a key part in the development of Alliance & Leicester and in building the growth and momentum we can see in the Group's results.
"Chris Rhodes, too, is a vital part of Alliance & Leicester's leadership team and will make an excellent Group Finance Director. In his 19 years with the Group he has been successful in a variety of roles in Retail Banking, Commercial Banking and Finance."
"Richard Pym has been an outstanding Group Chief Executive. Under his leadership the Group has defined and is implementing a clear and successful strategy for growth, offering customers competitive products and shareholders strong returns. I would like to thank Richard for his drive and commitment to Alliance & Leicester, and to wish him well for the future as he builds a portfolio of interests where he can apply his many talents and experience."
David Bennett commented: "I welcome the opportunity to lead Alliance & Leicester and to ensure that the growing momentum in our business continues at pace as we implement our strategy. Alliance & Leicester has a great management team and I have every confidence in the Group's continuing and growing success."
Richard Pym commented: "It has been an honour to be Chief Executive of Alliance & Leicester, it is a first rate organisation with first rate people. In David Bennett, the Board have appointed a very talented leader who will bring flair and drive to building the business."
Trading Statement
Alliance & Leicester also released a regular trading statement to the City this morning, which updated the market on the Group's current performance and expectations. This included the following comments:
. The Group expects operating profit for 2007 to be around the top of the current range of analyst forecasts (*).
. Strong franchise growth has been achieved in the first quarter of 2007.
. Revenue growth in the first half of the year is expected to be significantly higher than in similar periods in recent years.
. Total costs for the first half of 2007 are expected to be slightly lower than in the second half of 2006.
. Asset quality remains strong. Mortgage asset quality remains excellent and the unsecured personal loan impairment loss charge in the first half of 2007 is expected to be lower than in the same period last year.
. £53m of the £300m share buyback programme planned for 2007 has been completed so far.
The full trading statement can be seen at www.alliance-leicester-group.co.uk .
The Group's interim results for the first six months of 2007 will be announced on
27 July 2007.
