New Look to close 60 stores?
12th January 2018
Fashion retailer, New Look, could close about 10% of its UK stores.
The company is considering a Company Voluntary Arrangement (CVA), a process often used by struggling retailers to restructure financial obligations to creditors, as reported by Sky.
A decision on closures is expected to come in the next few weeks, with around 60 New Look stores likely to be closed. It is too early to say whether stores in Cheltenham, Gloucester, Stroud or Cirencester would be affected.
Like-for-like sales at the retailer had fallen by 8 per cent in the last reporting period.
The news comes just days after insurers cancelled New Look's cover against insolvency to its supplier, often seen as a sign that a company is in trouble.
It's been a tough Christmas on the high street, with Marks & Spencer reporting that like-for-like sales had fallen in both clothing and food.
Here at Punchline, we know there's only been one real winner over Christmas. The company might not report its figures, but we all know that Amazon blew the high street out of the water over festive period. If the high street wants to compete, it has to have a great online offering and a good social media campaign, as Next, one of the few Christmas winners showed with a 13.6% rise in online sales in the run-up to Christmas.
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