Ian McLeod, the former Celtic chief executive, is following his former Asda boss Archie Norman to Australia in another career change.

Retailer Halfords yesterday announced the departure of McLeod, 49, as it unveiled disappointing 2% sales growth since September against 5.5% in the first half.

The Scot will earn £914,000 a year as chief executive of Coles, a struggling Australian supermarket giant, after being lured there by Norman, who has been advising in the retail sector.

McLeod, who was installed at Halfords by private equity group CVC when it bought the chain, said he would "have to start learning the Australian lingo" but added that he was "thoroughly looking forward to working with Archie again".

McLeod quit Celtic at the end of his £450,000-a-year contract in April 2003 after just two years, with a £500,000 pay-off. He had previously been 20 years at Asda.

Since 2003, Halfords has increased like-for-like sales by 30% and floated on the stock market. Its chairman Richard Pym said: "We are very, very disappointed he is going, but he leaves Halfords in extremely good shape."

In its trading update, Halfords said its range of in-car satellite navigation had shown year-on-year growth, while car maintenance also performed strongly.

However, Pali International retail analyst Nick Bubb said: "Halfords has produced two disappointments today - key management leaving and disappointing like-for-like sales news."

Norman, famed for his turnaround of Asda, has been advising conglomerate Wesfarmers, which won a takeover battle last year to acquire Coles, which is in the shadow of market leader Woolworths.

Halfords installed finance director Nick Wharton and trading director Paul McClenaghan as acting joint managing directors.

In January 2005, Halfords was accused by the Forum of Private Business of breaking UK and European late payment legislation after telling suppliers to cut their prices and wait longer for payment.