Loblaw stock falls as management shuffled

The president of flagging food retailer Loblaw Companies Ltd. left suddenly Monday and wasreplaced by the company's deputy chairman.

Allan Leighton took over the top management job, as Mark Foote left "as of today's date," Loblaw said in a release.

Galen Weston, executive chairman and a member of the family who controlthe retailerthrough George Weston Ltd., said Leighton will "complete the turnaround" of Loblaw.

Two other executives also left.

"At this crucial juncture, we require more focus and clarity in our leadership structure. These changes will provide this,"Leighton said.

The announcement prompted a drop of $1.96 (6.2 per cent) in the company's stock, which finished at$29.77 on the TSX. The 52-week range is $26.75to $55.

Loblaw saidCFO Bill Wells is leaving to become CEO of pharmaceutical company Biovail Corp., whilePietro Satriano, executive vice-president food, left Monday for an undisclosed future.

Loblaw has been cutting pricesin response to competition, and its share price has fallen fromas much as $75.90 in April 2005.