By Graeme Wearden, Reporter at The Guardian. Bleak day for Britain’s biggest supermarket chain as new chief executive warns that first-half profits were overstated by around £250m, and suspends four senior executives. Jim Osman, CEO at The Edge Consulting Group, has warned investors not to see Tesco’s share price tumble today as a buying opportunity.
Osman reckons small shareholders should keep away until the company’s future is clearer: “Investors in Tesco must push for a massive restructuring and break-up of the business if they want to see any further return on their investment. By separating the retail arm of Tesco from its £20bn property portfolio, it will be able to deliver true value for shareholders and kick-start the transition towards profitability.”