Former iceland group executive gets into still more hot water. (The Green Scene).(Malcolm Walker)(Brief Article)(Statistical Data Included)

Quick Frozen Foods International, October, 2001

Malcolm Walker, founder and former chairman of the Iceland Group, is in the middle of a lot of trouble -- thanks to a memo indicating that he knew the British frozen food center chain's stock was about to take a dive when he sold his own holdings last autumn.

According to his once secret memo, which surfaced Aug. 19 in the Sunday Mail, Walker knew last Oct. 23 that "sales [had] fallen off a cliff," that overhead was "out of control," and that auditors Ernst & Young had expressed concern over the percentage of sales generated from "buy one, get one free" promotions.

It was shortly afterwards that Walker dumped his own shares, netting 13.5 million [pounds sterling] ($19.5 million). Sure enough, Iceland share prices soon went south, and have yet to...

Read the rest of this article with a Free Trial at HighBeam Research.

Premium Content Partnership | HighBeam Research provides an in-depth online archive library of reference works.