Whitbread pubs boss Bill Shannon quits

Bill Shannon, the head of Whitbread's pubs and restaurants division, has quit the leisure group.

Mr Shannon was one of the front runners to succeed David Thomas as chief executive this year before the company appointed Alan Parker, the hotels divisional boss.

Having missed out on the top job, his decision will surprise few in the City.

Mr Shannon will step down from full time executive duties and as a director of the company at its annual meeting in June.

As managing director of the pubs and restuarants division, Mr Shannon was responsible for chains such as Beefeater, Brewer's Fayre and Brewsters as well as Pizza Hut and the Costa coffee chain.

In a statement to the stock market Whitbread chairman Sir John Banham said: "Bill has been with Whitbread almost 30 years and as a board director for nine years.

"Most recently, over the last four years, he has built Whitbread's restaurant division into a business with over £1bn of sales from a portfolio of leading brands, with current performance and organic growth prospects to rival the very best of Britain's retailers.

"This has been a major contributor to Whitbread's good performance and our board will be very sad to see him go after a long and distinguished career in the company.

"Bill will stay in position until the end of June to support Alan Parker, chief executive designate, for the transition."