Marks & Spencer restructures, ready to shut 30 UK stores

Marks & Spencer ready to Shut 30k UK Stores

Marks & Spencer just informed that they will close 30 UK clothing and home stores and exit 10 international markets in the next five years, this plan will fit in perfectly within their restructure plans.

The reshuffling has been initiated under the guidance of new CEO Steve Rowe, the high street retailer will also close down 45 clothing and home departments, which feature lingerie and nightwear, and replace them with its more successful Simply Food halls.

Rowe in an official statement announced today that internationally, M&S will shut 53 stores in 10 loss-making markets, including 10 in China, seven in France and all its shops in Belgium, Estonia, Hungary, Lithuania, the Netherlands, Poland, Romania and Slovakia.

The brand wants to shut operations in lesser revenue yielding zones and focus more on the zones that are proving profitable for the brand. The news came as M&S recorded an 88% plunge in pre-tax profits for the 26 weeks to October 1.

This was driven by fewer clothing and home sales, which dropped 5.3% on the same period last year, and a £200million injection into the retailer’s pension fund.

Commenting on the closures, Rowe informed the public that they are  aiming towards building a sustainable business which will delight their customers in long run and in return provide a robust foundation for future growth and deliver value for the shareholders in the time to come. They have made good progress on their restructure plans and customers are already noticing a difference, particularly in the Clothing & Home segment.

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