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Latest NewsEconomics, government & businessJob creation and losses

JJB Sports to close 72 stores with the loss of 800 jobs

by Gareth Vorster 16 Apr 2008
by Gareth Vorster 16 Apr 2008

Retailer JJB Sports is to close 72 of its 416 stores at a cost of 800 jobs after reporting a 28% fall in annual profits.

For the year to January, the Wigan-based retailer made a pre-tax profit of £33.8m, down from £47.2m over the same period last year.

Chief executive Chris Ronnie said admitted that 1,200 staff would be affected by the closures, but said 400 staff would be re-assigned under a restructuring programme. Seven of the stores will be re-badged as ‘Original Shoe Company’ stores, which JJB acquired last year.

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“The decision to close the 72 stores is based on the fact that they are non-profitable and are a huge drain on the business,” said Ronnie. “We decided that we would clean up our store portfolio going forward, not only on out-of-town stores, but also high street stores.”

The move follows warnings by the British Retail Consortium of potential cuts in training and recruitment in the retail sector because of a slowdown in consumer spending.




Gareth Vorster

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