Regent Inns boss goes Walkabout

By THIS IS MONEY
Updated:

 

SHARES in Regent Inns plunged 13p or 21% to a nine-year low of 48 1/2p as it admitted a price-cutting policy at its Walkabout pubs had failed and parted company with its operations director Michael Thiele.

During January and February Regent slashed prices and halved the decline in sales at the expense of profit margins. But since then the Walkabout estate and a dozen bars in particular in the Midlands and the North have performed below management's expectations.

That means pre-tax profits in the year to August will fall 'materially' short of last year's £14.4m.

The City hoped for £16m this year. Regent said its Walkabout pricing policy 'will continue to be refined'.

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