retail

Frasers Group warns of £100m charge as lockdown bites


Frasers Group has put investors in the UK retailer on notice over a potential impairment charge of more than £100m as lockdown restrictions on high streets drag on.

The group, behind Sports Direct and Evans Cycles as well as the eponymous department store chain, said it anticipated taking a “material” non-cash accounting hit on the value of freehold properties and other assets.

It comes a day after the UK government laid down plans for a “cautious” approach to easing lockdown, under which non-essential shops in England will not reopen until April 12 at the earliest.

The company, run by billionaire Mike Ashley, cited “the length of the current lockdown, potential systemic changes to consumer behaviour and the risk of further restrictions in future”.



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