Biscuit major Britannia Industries' management has inducted John Miller, a Danone representative, as additional director on its board, but is yet to name a replacement for sacked managing director Sunil Alagh.
The company has expressed complete confidence in the present management, led by chief operating officer Nikhil Sen.
In a media statement issued after a marathon board meeting late tonight, the company said, "The board has expressed full confidence in the current management, which is fully competent and has demonstrated its ability to drive the profitable growth of the company."
The release also denied any differences between the board and Alagh.
Britannia Industries is an equal joint venture between the Wadias, the promoters of Bombay Dyeing, and Group Danone of France.
The other Danone nominees are Simon Israel and Francois Xavier Roger. The Wadia group is represented by Nusli Wadia, S S Kelkar and Anil Hirjee.
The company has reiterated that Jeh Wadia, younger son of Nusli Wadia, will not join the board while expressing full faith in the current management.
Nikhil Sen has been with the company since 1980. The board meeting took place in the backdrop of allegations made by the audit committee of Britannia Industries that Alagh committed various financial misdemeanours during his tenure of 30 years. Alagh could not be reached for comments.
The Britannia's audit committee comprises Nimesh Kampani, Francois Xavier Roger and Field Marshal Sam Manekshaw.
Alagh is identified with the success of Britannia Industries, especially the launch of the Tiger glucose biscuit brand, which effectively challenged Parle's dominance in this segment.
Meanwhile, the company has announced a major drop in its net profit at Rs 99.1 crore (Rs 991 million) for 2002-03 on a topline of Rs 1,349.1 crore (Rs 13.491 billion). In 2001-02, it had posted a net profit of Rs 203.2 crore (Rs 2.032 billion) on a topline of Rs 1,451 crore (Rs 14.51 billion).
Last year's net profits were, however, bolstered by the hiving off of the dairy division into a joint venture with New Zealand Foods.
