Woolworths has appointed a new chief financial officer days after the departure of a senior director raised concerns that other executives may leave the troubled retailer.

Robert McDonald, former finance director of Punch Taverns, will replace Stephen East on November 3.

Steve Johnson, the chief executive of Woolworths, said Mr McDonald's appointment was "very important" for the company.

"His experience will be invaluable in driving through the operational changes within Woolworths and in helping the Group move to the next stage of its development," he said.

Once the family favourite on the high street, Woolworths has suffered in recent years. Mr McDonald's appointment comes days after the retailer was rocked by the departure of Simon Turner, the retail and operations director, who joined in January this year. Mr Turner left just a month after the newly-appointed Mr Johnson attacked the poor performance of the company.

Mr Johnson, who replaced Trevor Bish-Jones as chief executive in September, criticised the product ranging and layout and design of Woolworths stores as he reported a £99.7 million half-year loss.

He has outlined plans to revitalise the group, intending to simplify the management structure and reduce costs by scrapping the final salary pension scheme and selling as many as 120 stores.

Mr McDonald, who left Punch Taverns in September 2007, said he was excited to be joining Woolworths during efforts to turn the retailer around.

He said: "I share Steve's belief that there is space on the high street for a successful homee-based variety store and I look forward to joining the team leading the turnaround of this iconic retail business."

Shares in Woolworths have lost 80 per cent in the past year. They were up 0.10p in early trading this morning, at 4.49p.

Times Recommends

• Lies and cover-up at MG Rover exposed by report
• High oil prices push manufacturing costs up
• Primark founder steps down as chief executive