Wetherspoon's needs to open up

JD Wetherspoon, as founder Tim Martin likes to boast, was the first pub company to introduce no-smoking areas, the first to ban smoking and the first to serve food all day. It is also (probably) the first to offer no explanation for why two of its executive directors are leaving on the same day. In the absence of facts, we must assume an almighty row prompted the departure of Keith Down, finance director, and Paul Harbottle, chief operating officer. But what was the quarrel? Analysts suggest that it was linked to the cost of opening the pubs early to serve coffee and breakfast, another Wetherspoon innovation. But it's a guess. Martin has proved over the years that he knows more about running pubs than any of his rivals, especially the debt junkies in charge of the huge pubcos. So shareholders may take a relaxed view of the drama. If Martin was arguing that long-term investment should take priority over a short-term boost to margins, most investors would back his judgment. But that doesn't excuse the lack of a proper explanation. Martin owns 23% of the shares but he is still obliged to tell owners of the other 77% what the hell is going on.