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By
Reuters
Published
Apr 1, 2019
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Australian discount department store Big W to close 30 stores

By
Reuters
Published
Apr 1, 2019

Australia’s Woolworths Group said on Monday it would close 30 stores of its loss-making discount department store chain Big W over the next three years, along with two distribution centers.

Big W


The company pegged the cost of exiting these sites at about A$270 million ($191.8 million). Big W has 183 stores across Australia.

Woolworths said it expected to record an impairment of A$100 million as competition from online shopping and the poor retail environment hurt margins at Big W.

Together, a one-off pre-tax charge of about A$370 million was likely to be recorded as a significant item in its annual results.

Woolworths shares rose 2.2 percent to an almost nine-month high after the announcement, while the broader market was 0.7 percent firmer.

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