Mitchells & Butlers (M&B) has bowed to pressure from major shareholder Robert Tchenguiz and appointed not one but two of his lieutenants to the pubco's board.
As predicted at the weekend, R20's Tim Smalley has been named as a non-executive director, but in a surprise move Tchenguiz's right-hand man, Aaron Brown, also gets a seat at the top table in a move M&B described as strengthening the property skills of the board.
The group also said it would look to become a real estate investment trust (REIT) "or other appropriate OpCo/PropoCo structure" where market conditions permitted.
News of the appointments came as M&B unveiled half year sales flat at £995m, operating profits up 4.3 per cent up at £168m and pre-tax profits down 5.6 per cent at £84m.
M&B said same outlet food sales rose 5.1 per cent in the 28 weeks to April 28, 2008, while it claimed "significant gains" in drinks market share.
In the 32 weeks to May 10, 2008 overall same outlet like-for-likes were up 0.8 per cent, although tough trading and poor weather "reduced same outlet like-for-like sales by 0.4 percentage points.
L4Ls across the group's residential estate were up 0.8 per cent in the 32 week period, with its pub restaurants seeing a 3.3 per cent rise in like-for-likes in the second quarter, and a two per cent rise for the overall period.
However its residential pubs saw 0.6 per cent like-for-like declines.
Same outlet like-for-likes across M&B's high street estate grew 0.3 per cent, albeit with "significant pressure" on its circuit venues.
As well as the two board appointments M&B's eagerly-awaited strategy review additionally included: the implementation of a REIT structure when conditions permit "to more fully capture the value of the property estate when market conditions are suitable"; the sale of more 'gold brick' sites, and a look at pub deals, whether selling non-core assets or buying sites "on value creative terms".
Tim Clarke, M&B's chief executive said: "The comprehensive strategic review has explored all options for creating value. The conclusions reaffirm our commitment to capturing the value of the property for shareholders.
"We will also focus on accelerating our trading out-performance and pursuing consolidation in managed pubs."
"Strong food sales growth, sizable drinks market share gains and further productivity improvements have delivered these resilient trading results. The second half has started well."
Despite the preedicted nature of its strategy review, M&B's results were broadly given the thumbs up by the City and its shares were up 3.5p at 332p following the announcement.