IT boss quits Boots business

Peter Federico, Boots' retail division IT director, has left the business and will not be replaced. He is the latest in a line of high-level executives to exit Boots, but a spokesman insisted that Federico's departure was in line with a contract with IBM to outsource Boots' IT operations, struck last October.

The 10-year deal with IBM will cost Boots£710 million and is expected to save£130 million in IT costs.

Federico will not be replaced and his responsibilities for store systems will be merged with the supply chain management department, headed by Bob Fraser, who reports to chief information officer David Lister.