Nov 11, 2016
Marks and Spencer to close 100+ shops worldwide, 60 in the UK
HIGH street giant Marks and Spencer has publicized that it will close dozens of clothing and home stores over the next five years.
Marks and Spencer plans to close 53 loss-making outlets in 10 countries around the world and about 60 in the UK.
The retailer said that as expected, underlying profits were down in the half due to lower Clothing & Home sales. Non-underlying items include significant charge relating to pension changes. It would now focus International business on a franchise model, exiting the loss-making owned business across ten markets, at a non-underlying cost of £150m-£200m over the coming 12 month period, thereby eliminating annual losses of £45m.
A Five-year plan to improve productivity of UK Store Estate will be implemented by repositioning c.25% of Clothing & Home space with costs of c. £50m per annum for the first three years and continued rollout of Simply Food stores.