The Business of Fashion
Agenda-setting intelligence, analysis and advice for the global fashion community.
Agenda-setting intelligence, analysis and advice for the global fashion community.
British sportswear retailer Frasers will book a non-cash charge, potentially in excess of £100 million ($141 million), in its 2020-21 results to account for impairment of its assets during the latest COVID 19 lockdown, it said on Tuesday.
On Monday Prime Minister Boris Johnson set out England’s roadmap out of lockdown with non-essential stores not opening until April 12 at the earliest.
Frasers, which was formerly called Sports Direct and is controlled by Mike Ashley, said it anticipated making material accounting impairments to freehold properties, other property, plant and equipment, and other assets.
“Given the length of this current lockdown, potential systemic changes to consumer behaviour, and the risk of further restrictions in future, we believe this non-cash impairment could be in excess of £100 million,” it said.
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While its shops have been closed Frasers has been able to serve customers online.
Shares in Frasers, down 6.5 percent over the last year, closed Monday at 460 pence, valuing the group at £2.4 billion.
By James Davey; editors: Paul Sandle and Louise Heavens.
The rental platform saw its stock soar last week after predicting it would hit a key profitability metric this year. A new marketing push and more robust inventory are the key to unlocking elusive growth, CEO Jenn Hyman tells BoF.
Nordstrom, Tod’s and L’Occitane are all pushing for privatisation. Ultimately, their fate will not be determined by whether they are under the scrutiny of public investors.
The company is in talks with potential investors after filing for insolvency in Europe and closing its US stores. Insiders say efforts to restore the brand to its 1980s heyday clashed with its owners’ desire to quickly juice sales in order to attract a buyer.
The humble trainer, once the reserve of football fans, Britpop kids and the odd skateboarder, has become as ubiquitous as battered Converse All Stars in the 00s indie sleaze years.