Marks & Spencer is to shut thirty stores across Britain and retreat from ten countries in an attempt to halt a precipitous plunge in profits, writes The Times (£). It is embarking on a sweeping restructuring plan that will promote its successful food business ahead of its struggling clothing arm (The Telegraph), while The Guardian writes that M&S is “hanging up its fashion aspirations after series of faux pas” and that he also outlined plans to open 200 new Simply Food outlets (The Guardian).

Marks and Spencer has announced a far-reaching store closure programme affecting one in 10 of its clothing stores in the UK and many more overseas, as the company battles to turn itself round after years of market share losses, writes The Financial Times (£). Eslwhere the FT writes M&S “ditched international ambitions to focus on food” (The Financial Times (£)) and comments how the closures in the UK signal the “death of the department store”. (The Financial Times £)

The Telegraph warns M&S’ “Dunkirk moment” of pulling back from its overseas opperations “is a humiliating defeat and “may turn out to be its Waterloo”. (The Telegraph). “Customers are dismayed and staff voice anger as British chain announces it will close seven outlets in France”, writes The Guardian.

The prices of Patak’s pickles and Jordans muesli are to rise, after the brands’ owner, Associated British Foods, admitted it was facing cost pressures from the fall in the value of sterling. (The Guardian)

Associated British Foods warned on Tuesday that the sharp fall in sterling would Primark’s profitability next year, since it would not raise prices to offset higher costs (The Financial Times £). Primark sees UK sales fall as margins narrow but owner AB Foods still enjoys profits rise thanks to sugar arm, writes The Daily Mail.

The Daily Mail also suggests chief executive George Weston is gearing up Britain’s food manufacturing and selling Ryvita crackers, Twinings tea and Ovaltine from Mexico to Australia. (The Daily Mail)

The FT looks at ABF’s disparate model, writing: “AB Foods shows that conglomerates work is classic “survivorship bias”. Its shocks turned up in the right order; they might not have. Failed conglomerates are no longer around to discuss the thesis.” (The Financial Times £)

In a week that Theresa May flew to India to discuss trade deals, the chief executive of Associated British Foods, said that he, too, was looking for a post-Brexit boost to commerce with the sub-continent (The Times £). Meanwhile, Primark could benefit from a UK outside of the EU if the Government were able to negotiate tariff-free trade deals with countries such as Sri Lanka. (The Telegraph)

The sharp decline of the pound has helped British tobacco company Imperial Brands boost its revenue after snapping up a string of US cigarette brands last year. (The Telegraph) Imperial Brands has raised its annual dividend by 10 per cent for the eighth year in a row despite reporting a sharp fall in profits. (The Daily Mail)

“Imperial cuts costs as flaky pound lifts tobacco sales”, writes The Financial Times (£) on Imperial Brands, highlighting the £750m efficiency programme aims to boost investment in growth opportunities. Elsewhere The FT cautions that “cost savings are no substitute for top-line growth” (The Financial Times £)

The distinctively peaked Toblerone chocolate bar will be partly flattened in the UK after Mondelez International blamed higher costs for the need to cut back the size of its bar. (The Financial Times £) Chocolate lovers blast ‘plain dumb’ cost-saving move to widen spaces between bar’s triangular chunks, writes The Guardian.

Tesco Bank has moved to restore confidence in its fraud-stricken systems by swiftly repaying £2.5m to the 9,000 customers who had money stolen in one of the UK’s biggest cyber heists over the weekend. (The Financial Times £)

 

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