French retail giant Carrefour announced Monday its appointment of Georges Plassat as the new chief executive officer, replacing Lars Olofsson, following the company’s recent low profit warnings sending its share price tumbling.

According to Carrefour's statement, Plassat will join the company ranks on April 2 and will become board chairman and CEO after the June 18 board meeting.

Carrefour has lowered its profit forecast five times since it announced the 1.5-billion-euro (US$2 billion) plan to restructure some of its largest European stores in September 2010. The retailer's market value has shrunk by 7 billion euros since Olofsson started as CEO in January 2008. The first thing on Plassat's plate will be to restore investor confidence.

Plassat ran Carrefour's Spanish business between 1997 and 1999. He later served 11 years in French clothing retailer Vivarte as CEO.

Carrefour has maintained a rate of 20 to 25 new stores opening every year in China. However, the retail giant has decided to step up its expansion by opening 30 stores this year.

China's business press carried the story above on Tuesday.

Contact the writer of this story at: [email protected].