Woolworths Ian a manner of speaking
Two weeks ago, or longer, we said it. Then the analysts said it. Now we’re hearing it from the horse’s mouth, as it were: Woolies paid too much for flailing Aussie retailer David Jones, according to no less a personage that Ian “The Professional” Moir. Best to hear it from the man himself, we reckon: “The fact it’s now impaired to half the level we paid for it, of course that’s disappointing, but it doesn’t mean we don’t still have a great business we can really do something with – it takes a lot of money to create what we’ve got now and we’re future proofing it for the next five to 10 years,” he says. “We’re not trying to hold onto a business model that doesn’t work; we’re creating a business model that does.” This involves paying an absolute shedload of money for the refurb of the flagship store in Elizabeth Street, Sydney, which will now boast a food hall on the ground floor, closing underperforming stores, and refurbing a whole bunch of other top-tier outlets.
Comment: Well good they’re leading with food, anyway.