Smith is said to have resigned from the luxury British fashion house to “pursue new interests” in other fast developing international businesses.

The announcement follows the management’s recent decision to cut some executive salaries by as much as 75%.

Although some analysts say Smith’s departure will provide opportunity for further structural changes, doubts remain as to whether Christopher Bailey will be able to hold on much longer on his dual position as Creative Director and CEO.

The company, which said it is taking measures to foster growth across all divisions, is to adopt a £100 million (US$141 million) annual savings strategy over the next three years involving improved efficiency in marketing and lower operating expenses. Read more here.