New boss for energy company

Energy giant Scottish Power replaced its chief executive of the last four years with the former boss of a drinks firm today.

The company said the appointment of Philip Bowman would bring in a “fresh perspective”, even though it insisted the business was in robust health under the leadership of current boss Ian Russell. He stands to receive a pay-off of at least £700,000 (€1.01m) – equivalent to a year’s salary.

Mr Bowman, who is 53 and comes from Melbourne, Australia, had a 10-year career with Bass Group before becoming chief executive of Allied Domecq in 1999. He lost that role last year when Pernod Ricard bought the Allied business for £7.4bn (€10.7bn).

Scottish Power chairman Charles Miller Smith said: “He has extensive experience at the helm of major public companies and a consistent track record of building value for shareholders.

“He will bring a fresh perspective to Scottish Power and we look forward to working with him.”

Mr Russell joined Scottish Power as finance chief in 1994 and became chief executive in 2001. He has taken the company’s customer base to more than five million and recently led the firm’s rejection of a £10.7bn (€15.5bn) takeover proposal from Powergen owner E.On.

Shareholders welcomed the change today, as Scottish Power shares jumped ahead by 4% to 565p.