Diageo shares bounce back as new CEO Dave Lewis lifts spirits with $1bn savings plan

Ex-Tesco boss known as ‘Drastic Dave’ for his cost-cutting zeal pledges more of the same at flagging Guinness owner

Shares in Diageo have bounced after the Guinness owner’s chief executive, “Drastic Dave” Lewis, passed the first big test of his plan to revive the flagging fortunes of the UK-based drinks company.

Lewis, a former Tesco boss known in the City for his cost-cutting zeal, promised to deliver $1bn of savings over two years through a “significant” restructuring aimed at making the company more agile.