Retail news round-up on July 2, 2014: Sports Direct boss on Adidas, Greggs expects profit and IoD concerned about bonus proposal.
Sports Direct boss Dave Forsey calls Adidas’ behaviour ‘anti-competitive’
Sports Direct chief executive Dave Forsey has hit out at German sportswear brand Adidas by labelling its behaviour as ‘anti-competitive’ and ‘disingenuous’, the Telegraph reported. Mike Ashley’s sports retailer is understood to have reported Adidas to the Competition and Markets Authority in a growing row about the supply of replica football kit. Forsey added that Adidas’ approach is thwarting the company from pursuing an offer for footwear retailer Office owing to the concerns the German company will cut supplies to the footwear chain.
Greggs expects operating profits to rocket 48% in first six months
High street food retailer Greggs is anticipating its operating profits to jump 48% to be in the range of £16m-£17m for the first half of this year, driven by increasing sales and property sell-offs, the Telegraph reported. The bakery chain’s total revenue surged 3.1% in the 26 weeks to June 28.
IoD concerned on Sports Direct bonus proposal
The Institute of Directors (IoD) has warned there is no ‘check on Mike Ashley’s power’ at Sports Direct as the retailer readies for a showdown with shareholders over a controversial share bonus scheme, The Guardian reported. The UK employer group’s director of corporate governance Roger Barker said, “The fact that the board of Sports Direct is attempting once again to push through a hugely generous pay award for Mike Ashley – in the face of shareholder opposition – suggests weak governance at the company.”