Topshop Will Close Half Of Its UK Stores For Restructuring.

According to the world clothing shoes and hats net, this Sunday, the British high street brand. Topshop Around half of its UK stores have been closed down to meet the upcoming holiday season. Although store redevelopment is very common in the retail industry, especially before the peak season, such a large-scale reorganization is very unusual for Topshop itself and the entire retail industry. This seems to continue to be verified as the high street of the once crowning pearl. fashion Brand, Topshop is more difficult.

Research and rating agencies Moody 's Corp. Moodie's latest research report believes that with slow pay growth and inflation repression of British nationals' disposable income, next year, Arcadia Group Ltd., Marks and Spencer Group PLC (Spencer), Marsha, Department of technology, and other entities retailers will face shrinking market share and the challenge of regressing profits in the face of multifaceted competition, while value retailers and international fast fashion. brand H&M and Zara, local tide brand Superdry Supergroup (SGP.L), ASOS PLC (ASC.L), Boohoo.com PLC (ASC.L), and "trendy" will win the fashion business.

In the above British apparel group, Arcadia Group Ltd. is in the worst position at present. Philip Green and Arcadia Group Ltd., a British retail tycoon, and its retail Kingdom Arcadia Group Ltd. have been out of trouble for the last two years, not only that the British BHS bankruptcy scandal is still shawling, and Topshop is not only in bad sales, but more into the vortex of regional business bankruptcy this year.

Topshop and Topman last year were anxious both in the UK and in the international market. In the fiscal year ended August 27, 2016, sales in Britain dropped by 1.3% to 896 million compared to the same period last year, and international revenue fell by 6% year-on-year. Arcadia Group Ltd.'s holding company Taveta Investments Ltd., the overall revenue fell 17% to 2 billion 20 million pounds compared with last year, pre tax profits decreased by 78.6%, from 172 million 200 thousand pounds to 36 million 800 thousand pounds, the profit margin includes 81 million pounds of retail stores and 129 million pounds of one-time expenditure, of which BHS and BHS bankruptcy related expenses for 26 million pounds.

In May this year, Topshop Australian franchisee filed for bankruptcy protection in May. Then, in September, Topshop's New Zealand business suffered the same fate.

In addition, the management of Topshop continues to be volatile this year. In March of this year, it joined the Topshop in 1987 and resigned as general manager of Mary Homer in the past 11 years. The UK home brand The White Company was appointed as CEO. Arcadia Group Ltd. integrates Topshop and Topman, and Burberry Group PLC (BRBY.L), the chief commodity officer of the company, Paul Price, is the chief executive officer of the company.

In August, Kate Phelan and Gordon Richardson, respectively, as creative directors of Topshop and Topman, announced that they would leave during the year. David H gglund will take over the two brands as the first Topshop and creative director.

Arcadia Group Ltd. has many brands, such as Topshop/Topman, Dorothy Perkins, Miss Selfridge, Burton, Evans, and Wallis. After selling 25% stake in Leonard Green & Partners LP in 2013 with the valuation of 2 billion pounds, the Philip Green family still controls the majority of Arcadia Group Ltd., while the real holding is Philip Green's wife Tina Green. However, according to sources, Leonard Green & Partners LP, based in Losangeles, has written down Arcadia Group Ltd..

Now the more serious pension gap than the outside world has made it difficult for Philip Green to find private buyers for Arcadia Group Ltd., or its brand, especially when the current group business is bad.

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