City Diary — 1 July
Is 'best eggs' claim scotched?
City Diary reported that Enterprise boss Ted Tuppen claimed the Harwood Arms, in Fulham, an Enterprise pub with a Michelin star, makes the best Scotch eggs in the UK. Tuppen lives in Devon and popped into his local, a freehouse called the Hunter's Lodge, in Cornworthy, Devon, to find a surprise waiting for him.
Licensees Andy and Bridgette Evans had read the City Diary item and had produced their own home-made Scotch eggs for Tuppen and the rest of the pub to enjoy. Andy says: "Bridgette rose to the challenge, sourcing her own local eggs and sausage meat. We had an inkling he might be in and produced them on the spot." And the verdict from Tuppen? "They were absolutely delicious — all the more so because they were made from local produce."
Marston's joins battle for Norfolk
City Diary has reported on Wetherspoon plans to in-fill across the remote hinterlands of Norfolk with new pubs in Dereham and elsewhere. Now it is joined by Marston's which is looking to open new-build pubs in under-served Norfolk towns. It has a plan for the periphery of King's Lynn and is also looking to open in the next sizeable town east. It has submitted a plan to open a £2m pub on the outskirts of Fakenham (population: 7,357).
Greene fees for new law partner
Greene King has placed the legal work linked to its property portfolio with Cambridge law firm Taylor Vinters. A spokesman for Taylor Vinters says: "One of the key areas we are focusing on initially is a review of the company's legal processes with our in-house management consultant in order to drive efficiencies into the relationship and reduce costs."
For its part, Greene King praises the law firm's "straight-talking approach" and "innovative fee structure". That's normally the problem with law firms, isn't it? Fee structures tend to be very innovative indeed.
Results turn out to be real bonus
Anyone who has read City Boy by Geraint Anderson will know how much the annual Extel survey of institutional investors means to City analysts — very large annual bonuses ride on the outcome. Results for the pub and leisure sector were out in the past fortnight. Douglas Jack and his team at Numis Securities came top, Simon French and his team at Panmure Gordon came second, with Paul Hickman at KBC Peel Hunt grabbing third slot. An anomaly means Geof Collyer at Deutsche Bank is classed as a member of the sales staff.
It's crust the right time to purchase
The recession is a good time to expand, Part 39. Tenant Duncan Colvin runs The Old Inn on the A35 just outside of Axminster. He's now eyeing a pizzeria in the centre of the ancient Devon rug-producing town. "An opportunity has presented itself and I'd be a fool to pass it off. Recession is the best time to open a business. I can buy things cheaply. There's an awful lot of second-hand catering equipment out there because people are
going bust."
Trust is invested in pub's new MD
More details of the succession plan at Trust Inns emerge. Managing director Brian King is retiring with Lynne D'arcy taking over. She arrives at the end of this month, will spend time during August meeting as many of Trust's licensees as possible before taking over managing director duties in September.
The real use of forums apparent
Still at Trust Inns, the company has held its fourth licensee forum. Brian King says: "It's always refreshing to hear our licensee points-of-view and we are confident that the initiatives that arise as a result of our discussions will be well received by our other lessees." This talking-to-your-licensees-because-they-often-have-(quite)-good-ideas malarkey is really catching on.
Getting a round in takes no time
More evidence that London is its own micro-economy comes from last week's Capital Pub Company results. Boss Clive Watson explains that aside from the economic buoyancy of the capital, visiting your estate is that bit easier.
"I can visit 10 or so of our pubs in three hours or so." Let's hope he's having no more than a half in each.
New Luminar chief executive's street cred is sky-high with his daughters
New Lord of the Dance at Luminar, Simon Douglas, is toiling with the sector's worst like-for-likes as he attempts to turn the company round. It's not all doom and gloom though — his street cred with his kids has sky-rocketed.
He tells our sister publication, M&C Report: "I have two teenagers, including a daughter at university who thought I was the trendiest dad in the world when I got this job — probably because she thinks she can have loads of free tickets." Looks like pay at Luminar is shrinking in line with profits. Douglas is on a basic of £300,000 compared to former chief executive Steve Thomas's £475,000. New finance director Philip Bowcock is on a basic of £200,000 compared to the £240,000 Robert McDonald was earning.
The one exception is Thomas himself who is on the payroll until the end of this month — and is then entitled to a full year's salary plus benefits — about £500,000. Luminar has, as City Diary reported, axed the last two years of its three-year 02 Box contract which will save £400,000 and cover 80% of the cost of the wash-up on Big Steve's contract.
Designs on the Theatre of Dreams
Does Wetherspoon chief executive John Hutson have further career ambitions? Turns out he does. "Alex Ferguson has to retire eventually and giving the job to someone who one played intramural football at Exeter University could be the sort of left-field appointment they should ponder," he says.
