Supermarket chain Morrisons could be about to ditch its yellow and black logo as part of plans to overhaul its image.

The slogan “More reasons to shop at…” will also go, while the retailer may raise the possibility this week of opening a chain of smaller town centre stores, according to reports. 

Marc Bolland, the company’s new chief executive, will announce details of a strategic review at the same time as annual results on Thursday. 

The figures are expected to underline the recovery of the group after major difficulties with the integration of Safeway caused it to report the first loss in its 106-year history. 

At its interims in September, the company turned pre-tax losses of £82.1 million in 2005 into profits of £134.2 million, and in January it reported record sales in the week before Christmas. 

The recovery appears to have continued into the current financial year as industry data revealed Morrisons was the best performer out of the “big four” supermarkets during February, boosting its market share by 0.1 per cent to 11.1 per cent. 

During the past year, Sir Ken Morrison relinquished control of the firm with the appointment of Mr Bolland as chief executive. 

Mr Bolland is expected to say the group needs to be more flexible with its store sizes, particularly in urban locations where outlets could be bigger than traditional convenience store formats such as Tesco Express. 

Today’s report also said the company may announce an IT investment programme and increase the spread of its warehouses in the south of England.

Mr Bolland is also expected to confirm that he remains committed to Morrisons’ food packing factories, which provide a fifth of the goods sold in its stores. None of Morrisons’ major rivals have a similarly vertically integrated business.

Green campaigners will also be keen to hear some new commitment to environmental issues. Morrisons is lagging behind in the race for green initiatives.