Big Bonus For John Lewis Staff

A rise in profits for John Lewis means staff will share a GBP87million bonus payout. The 59000 workers of the successful retailer will receive the equivalent of six weeks salary.

A boost in profits by 29 per cent follows a 10 per cent recovery in trading profits, to a total of GBP277million. Sales for the 12 months to 31 January topped GBP5m for the first time, rising by eight per cent to GBP5.1m.

London Oxford is still seeing a downturn in trading due to the congestion charge that was introduced last year. Chairman Sir Stuart Hampson told Fiano Wals of the Evening Standard that "You can't judge the success of the shcme merely by the fat that there are fewer cars. You have to judge by the economic results on the capital as a whole."

John Lewis will be issuing a comprehensive report on the congestions scheme to be ready by the end of March. The opening of new stores around the UK, including branches in Belgravia and Mill Hill London lifted the profits for t he Group.

As part of a GBP300 million expansions programme, John Lewis plans to open ten new stores from 2007 onwards. The group has also taken into consideration launching its own credit card. With an increase in sales over the internet and the John Lewis catalogue, trusted customers may well make this a lucrative venture in an already crowded market.

12 March 2004

Congestion Charge Hits John Lewis London Stores

John Lewis chairman Sir Stuart Hampson has said the GBP5-a-day London road congestion charge has hit trading at its flagship Oxford Street store.

Sir Stuart said in the six months since the launch of the charge in February, its Oxford Street sales are down by 7.3 per cent, compared to a 1.7 per cent increase across the rest of the 26-strong John Lewis department store chain.

He further urged Transport for London to postpone plans to extend the charging zone, which would also cover the group's Peter Jones store. He asked for more support for retailers through a publicity campaign to make shoppers aware that the charge does not operate at weekends.

The past season has been difficult with a sluggish economy, the Iraq war, heat-waves and the 3 month closure of the Central Line in February. The only factor remaining, which impacts Oxford Street lies within the congestion charge zone.

5 September 2003
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John Lewis To Open in Manchester

John Lewis is to open a full-line department store in Manchester's Trafford Centre in 2005.

The 200,000sq ft store will trade over two floors in the Festival Village area of the centre, currently occupied by small independents.

The Trafford Centre said some of the existing retailers may be relocated to the main Peel Avenue or Regent Crescent malls but many of them have leases which are due to expire shortly.

David Riddiford, the buying and merchandise director at Selfridges, which opened in the Trafford Centre in 1998, said: "John Lewis will be another good anchor, with Selfridges and Debenhams, and will pull in a more upmarket clientele."

28 August 2003
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Hot Weather Affects Sales at John Lewis

The John Lewis Partnership reported a 12.7 per cent decrease in department store sales in the week to August 9 compared to a year ago. Only two department stores, Nottingham and Edinburgh, saw growth.

Supply-chain director for department stores Patrick Lewis said: "As the temperature rose, footfall and sales dipped in direct proportion and we ended with one of the lightest Saturdays we have recorded in recent years."

The John Lewis figures are likely to prove a bellwether for the performance of other UK retailers during a heatwave which saw temperature records broken. The SPSL retail traffic index shows customer numbers down by 12.5 per cent in the week beginning August 3, and 17.8 per cent in London and the south east.

19 August 2003
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John Lewis' Talking Windows

John Lewis has installed whispering windows in its Edinburgh, Glasgow, Nottingham and London's Oxford Street stores.

They transmit sounds and music through a "bug" attached to the glass. The technology has been developed by Hull-based Newlands Scientific.

18 August 2003
www.johnlewis.com

John Lewis in Oxford

John Lewis, the UK's biggest department store, confirmed it is in talks with the Westgate Partnership to open a new full-line department store in Oxford. The Westgate shopping centre is an ideal location in the heart of the city.

Current department stores trading at the Westgate Centre are Debenhams and Allders.

20 June 2003

John Lewis Profits Fall, But Remains Confident
Department store group, the John Lewis Partnership, owners of the Waitrose food chain, today explained the reasons behind a 23 per cent fall in profits despite sales increasing.

The popular retailer, known for its "never knowingly undersold" slogan, revealed that accrued holdiay pay, decided by the Central Council last February, had hit the company along with refurbishment of a number of stores. It also revealed that its determination to be a `multi-channel retailer' with the long-term developments that this would involve, including e-commerce, would require it to carry losses in the short-term. John Lewis took over and refurbished 11 Somerfield branches and is also part way through a major project at its flagship Peter Jones store which is on budget and on time but has "knocked" around £17m from department store profits this year.

John Lewis' annual results for the year ended January 27 2001 show that group sales rose 10 per cent to £4.13bn, within which department stores divisional sales rose to £2bn. Pre-tax profits were £150m, down 23 per cent, including one-off costs. John Lewis also say that £350m was invested in the business and another £200m is planned for the current year. It also revealed that its 54,000 employees or "partners" will receive bonuses of 10 per cent of their annual salary - more than five weeks' pay.

Commenting on the annual results, Sir Stuart Hampson, chairman of John Lewis said: "At the half-year stage last September, we were showing a fall of 43 per cent in pre-tax profit and the previous year's pre-millennium boost to sales towered ahead of us. "Partners rose splendidly to that second-half challenge, so that for the year as a whole, we booked a profit just short of £150m. "That's still a 23 per cent fall on last year, but the sales performance shows that the direction of our business is closely in line with what our customers expect from us and the consequent growth in market share by both divisions supports our accelerated pace of investment in existing selling floors in and new ventures."

Sir Stuart Hampson was upbeat about the opening of the store group's first department store in the West Midlands, its e-commerce operations, WAITROSEdeliver and buy.com and defended its decision to pay a 10 per cent bonus to staff. He said: "We are optimistic about the performance of John Lewis Solihull, our first department store in the West Midlands, when it opens in September, but pre-opening costs will also bite.

The two e-commerce ventures will register losses in the current year." He added: "The central board was conscious that over the next few years we have a programme of substantial captial spending geared to the long-term strengthening of our business. "In considering the financing of those plans, it decided to retain £67.2m for re-investment into the business (compared with £83.2 m last year) and that £58.1m should be distributed as Partnership Bonus.

Fifty four thousand partners will share the bonus this year, compared with 41,000 last year." The store group also revealed that an extension of trading hours to "meet customers' expectations" was under review.
Source: just-style.com