Primark Slashes Prices Before AB Foods Demerger to Boost Sales Across 19 Markets
Primark Announces Major Price Reductions Ahead of Demerger
Details of the Price Cuts
LONDON, July 20 (Reuters) - Fashion retailer Primark said on Monday it would reduce prices by up to 29% across hundreds of bestselling womenswear, menswear and kidswear products, seeking to improve trading ahead of next year's demerger from parent Associated British Foods.
Scope and Launch of New Prices
• The lower prices will launch across Primark's 19 markets from Monday.
Examples of Discounted Products
• Examples of price cuts include a women's supersoft boyfriend pyjama set at £13 ($17.51) reduced from £17, a women's single breasted coat at £22 reduced from £26 and a men's brushed check overshirt at £20 reduced from £25.
Context and Company Strategy
Recent Sales Performance
• Earlier this month, Primark reported a 2.2% fall in like-for-like sales in its third quarter to June 20, highlighting "a challenging consumer environment".
Initiatives to Boost Sales
• It said it was increasing investment in initiatives to drive like-for-like sales growth.
AB Foods Demerger Timeline
• AB Foods confirmed in April it would spin off Primark from its food businesses before the end of 2027.
Exchange Rate Information
• ($1 = 0.7423 pounds)
(Reporting by James Davey; Editing by Kirsten Donovan)
