Today-June 11

Up to 1,200 stores under Inditex, which owns Zara, will shutter over the next year following losses in the wake of the Covid-19 pandemic. The company, which also owns fashion brands like Massimo Dutti and Bershka, booked its first loss as the coronavirus crisis forced it to shut most shops but its shares rose after it unveiled a 2.7 billion euro (S$4.26 billion) plan to accelerate its focus on large stores and online sales. Inditex’s quarterly loss included a 308 million euro provision to close up to 1,200 smaller stores in 2020 and 2021, part of its shift to bigger stores. It said it would spend an extra 2.7 billion euros overall to upgrade technology at stores and to drive its online sales so that they made up a quarter of sales by 2022, compared to 14 per cent now. Online sales surged 95 per cent in the lockdown in April.

Read more at https://www.todayonline.com/world/1200-zara-retail-outlets-close-company-shifts-big-stores-and-online