River Island plans to shut 33 retailers within the UK in a transfer which places lots of of jobs in danger.
The clothes retailer mentioned extra folks buying on-line and better prices to run shops have been behind its proposals to collectors.
It additionally desires its landlords to chop rents at an additional 71 shops that are in danger.
The family-owned retailer presently has 230 retailers and employs about 5,500 folks, however has suffered heavy monetary losses.
Ben Lewis, chief govt of River Island, mentioned that though River Island is “a much-loved” British excessive avenue retailer, extra on-line buying means it has “a big portfolio of shops that’s now not aligned to our clients’ wants”.
He added {that a} “sharp rise in the price of doing enterprise over the previous couple of years has solely added to the monetary burden”.
He mentioned a turnaround plan was in place, however restructuring was additionally mandatory.
“We remorse any job losses because of retailer closures, and we’ll attempt to maintain these to a minimal,” he added.
River Island made a £33.2m loss in 2023 after gross sales fell 19%, based on its most up-to-date set of accounts.
It declined to say which shops it’s planning to shut.
The chain mentioned it intends to seek the advice of staff over the potential job losses, and can redeploy employees the place potential.
No head workplace employees can be immediately affected by the proposed closures, an organization supply mentioned.
Collectors will begin to vote on the plan on 4 August, and a court docket will resolve whether or not to approve the plan on 7 August.
River Island was based in 1948 below the Lewis and Chelsea Lady model earlier than being renamed within the Eighties.