Primark ready to reopen in two weeks as retailer counts the cost of no online store

Primark is to reopen 153 stores in England when lockdown restrictions on non-essential retailers are eased on June 15. Read more: Primark ready to reopen in two weeks as retailer counts the cost of no online store

Primark ready to reopen in two weeks as retailer counts the cost of no online store

Primark is to reopen 153 stores in England when lockdown restrictions on non-essential retailers are eased on June 15.

Associated British Foods, the conglomerate that owns the fast-fashion retailer, is awaiting further guidance for Northern Ireland, Scotland and Wales but anticipates reopenings in “late June”.

The company has already reopened 112 stores in mainland Europe, which represent 34 per cent of its total selling space. This will rise to 79 per cent when the stores in England open.

“Social distancing protocols, hand sanitiser stations, Perspex screens at tills and additional cleaning of high-frequency touchpoints in the store are among the measures we are implementing,” it said.

City analysts had cautioned that sales at Primark could be hit hard by social distancing measure. Its stores have traditionally attracted large numbers of shoppers. ABF said: “Our initial view is that the implementation of social distancing could only affect sales to some extent in the higher-density stores, which represented some 10 to 20 per cent of pre-Covid-19 total Primark sales.”

The conglomerate said that Primark had £1.5 billion of stock to sell and had also made a “commitment to our suppliers for a further £400 million of stock”. This compares to a typical stock holding of £900 million.

“The excess stock on hand mainly comprises everyday continuity, non-fashion and non-seasonal, ranges and some excess spring/summer stock,” ABF, which is listed on the FTSE 100, said. It added that it remained well-positioned to fund and manage the increased working capital and would seek to avoid any markdown on the excess stock.

Primark employs about 78,000 staff worldwide, including 37,000 in Britain. It was founded in Dublin in 1969 and is one of five divisions that ABF operates. The others are grocery, ingredients, agriculture and sugar. ABF is majority-owned by Wittington Investments, the investment vehicle of the Weston family. It is one of the few remaining conglomerates on the London stock market.

To reduce costs Primark put staff on furlough, cancelled orders and entered talks with landlords. It said that it had exceeded its “previously advised estimate of a 50 per cent reduction in Primark overheads”.

Shares in ABF, which have fallen by nearly 26 per cent in the year so far, rose 91½p, or 5.3 per cent, to £19.18½ in morning trading.

Clive Black, retail analysts at Shore Capital, said that the update was better than management’s initial cautious expectations about the potential disruption of coronavirus at its interim results. “Such developments are welcome to our minds,” he said.

Read more:
Primark ready to reopen in two weeks as retailer counts the cost of no online store

Source : Business Matters More   

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4 Advantages Of A Virtual Data Room For Your Business

Many business owners these days prefer to employ Virtual Data Rooms (VDR) that can help their companies with securing confidential data and limited access to online files. The post 4 Advantages Of A Virtual Data Room For Your Business appeared first on Young Upstarts.

4 Advantages Of A Virtual Data Room For Your Business

These days you can hardly find any business that uses a physical data room. It is because technology is appreciated by entrepreneurs in various sectors. They aim to keep up with the highly competitive business environment. And to achieve that, they prefer to employ Virtual Data Rooms (VDR) that can help their companies with securing confidential data and limited access to online files.

Read the following to learn how VDR can be advantageous for your business:

#1: Prevents Data Breach.

In the contemporary era, VDRs are gaining immense popularity, as they can deliver secure storage space for data. If you are thinking about preventing a data breach, then you should invest in a reliable VDR to meet the security needs of your business. Virtual Data Room Providers work hard to frame online repositories that can offer secure storage to customers (businesses).

VDR allows your business to ensure restricted access so that only approved participants can reach out to sensitive information and confidential data, such as licenses, contracts, staff history, intellectual property documents, financial statements, etc. Moreover, VDR also serves the purpose of secure sharing of data with its different levels of permission.

#2: Improves Due Diligence.

VDR is well-suited to let multiple parties perform due diligence at a single point of time. Unlike physical storage, VDR doesn’t take time to complete activities during M&A and fundraising projects. Every potential decision-maker is allowed to access the files and freely review the sensitive documents under a controlled environment. VDR offers multiple features to improve due diligence.

For instance, keywords search within the files to quickly access the desired information. VDR can allow your business to remain ready for many rounds of diligence without putting extra efforts and additional resources.

#3: Ensures Transparency.

When it comes to a VDR, your business is in a better position to understand its investors, vendors, and clients. It serves the purpose of maintaining transparency. For instance, when your business is offering easy access to documents in a VDR system, you can keep an eye on all the activities that are associated with that document.

You can evaluate when the document is reviewed, how frequently, and at what times. This way, you can ensure a significant amount of insight that you need to realize the level of interest of the other party. As a result, you can devise the transaction strategically to make the best out of it.

#4: Reduces Overhead Expenses.

Even though getting your hands on a VDR initially requires investments. It can substantially cost you to convert documents into digital formats. But, you can expect to gain a lot of benefits in the long-run. Your business can potentially go paperless, and that will result in lowering the expenses of office supplies. Besides, VDR attempts to ensure crucial company data and client information in the event of a disaster.

You may realize that physical data rooms can be costly for your business in terms of printing, stapling, copying, file folders, powering office machines, etc. However, VDR for your business can save money that can further be used for the development projects of a company.

The post 4 Advantages Of A Virtual Data Room For Your Business appeared first on Young Upstarts.

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