In a letter to shareholders and the Association of British Insurers sent today, M&S chairman Lord Burns said Rose would stand for re-election as a director every year instead of every three years, starting this year.
In addition, the Marks & Spencer has pledged it will return to the traditional model of chairman and chief executive when Rose retires in 2011, and a further non-executive director will be appointed with the aim of becoming the board's future senior non-exec.
Burns also confirmed that Rose’s salary will remain unchanged when he becomes chairman and said there will be a clear division of duties between Rose and new deputy chairman Sir David Michels. He confirmed marketing director Steven Sharp has also committed to stay until 2011.
The board has been criticised for failing to consult with shareholders over the plan, but Burns defended this by saying he had been worried about leaks. He said that meetings with shareholders after the Christmas trading statement had shown “there was strong support and encouragement for Stuart to stay with Marks & Spencer beyond 2009… particularly given the more challenging economic conditions now prevailing.”
Burns admitted however, that "unuanimous support of the decision may not be forthcoming," but concluded" I hope you will accept and understand our decision once you have considered this letter"
Click here to read the letter
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