J SAINSBURY, the supermarket operator, will lose the last direct link with its founding family with the decision by David Sainsbury to step down as chairman, writes Christopher Sims.
Life peer Lord Sainsbury is to go in September after 32 years with the company, to concentrate on his political career.
Ennobled by the Labour Government, he will help establish a ''University of Industry'' to improve the UK's skill base.
His place at the helm is being taken by Sir George Bull, former chairman of GrandMet. Lord Sainsbury said: ''I am sorry to be leaving the company, but as I got more involved in politics I had to decide whether to become a working peer or not, and I decided to concentrate on that.''
He acknowledged his departure would be an ''historic moment'', as for the first time there would be no member of the Sainsbury family at its head.
He added family members had every intention of remaining as major shareholders. He has a personal stake of 14% in the group, worth #1280m.
Lord Sainsbury has steered the company for the last six years with mixed results, overseeing expansion into Scotland and Northern Ireland, the acquisition of the Texas DIY chain in 1995 and last year's launch of the Sainsbury's Bank joint venture with Bank of Scotland.
He also presided, two years ago, over the group's first fall in profits since flotation, and saw arch-rival Tesco snatch the top slot in food retail. Over the years, the company has made much of its social commitment, but it has lately become embroiled in arguments over out-of-town development.
The first Sainsbury store, selling butter, milk and eggs, was opened in London by John James Sainsbury's wife Mary Ann in 1869. The company has been headed by a Sainsbury ever since. The first supermarket opened in 1954, and by 1970 there were 120. After flotation in 1973, development accelerated, with stores becoming ever larger.
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