Retail round-up: Sir Philip Green is urged to plug BHS's pension deficit, and Morrisons seals a new home delivery deal with Ocado
Philip Green told to plug BHS’s pension deficit
Sir Philip Green has been urged by Business Select Committee chairman Iain Wright to plug BHS’s £571m pensions deficit, The Guardian reported.
Wright stated that he was frustrated that there was no breakthrough yet to sort out the pension deficit, despite commitment by Green to resolve it.
In 2000, BHS’s pension scheme was in surplus when Green acquired the chain for £200m.
Morrisons has signed a new contract to take capacity at an Ocado warehouse in Erith, Kent, enabling a nationwide service for home delivery, Sky News reported.
Ocado will offer a store-picking service for Morrisons customers. Approximately 50% of UK households are currently served by Morrisons.com.
The retailer looked to restructure the deal signed in 2013, under which it paid £170m to acquire an Ocado warehouse in Warwickshire. The company also agreed to pay 1% of sales from Morrisons.com to Ocado and 25% of cash profits generated by the website.