JJB chairman Jones to step down
SIR David Jones is to stand down as chairman of JJB Sports at the end of this month due to “continuing issues with his health”, the company said.
The former Next boss, who has spent the last year fighting to save the Wigan-based retailer from collapse, has had Parkinson’s Disease for the last 28 years.
Yorkshire-based Sir David will remain on the board as a non-executive director and help new chief executive Keith Jones settle in to his role.
He joined the company as a non-executive director in 2007 before becoming executive chairman at the request of banks and investors a year ago.
Although he will be remembered by many as JJB’s saviour, his regime was overshadowed by controversy over a personal loan of £1.5m from Mike Ashley, the founder of JJB’s rival Sports Direct and a bitter public row with former chief executive Chris Ronnie.
Ex-DSG International boss John Clare, who is JJB’s senior independent non-executive has agreed to become acting chairman until a permanent replacement is found.
JJB, which revealed its sales were still being hit by low stock levels said Olympic rower Sir Matthew Pinsent and retail veteran David Adams were joining the board as non-executive directors.
The retailer – which has gone through a CVA, sold its gyms business and raised £100m through a rights issue to revive its fortunes, said it was starting to address a slump in sales.
Although like-for-like sales in the 52 weeks to January 24 was 28% down on last year, like-for-like sales this month are down 21%. compared with -39% in August.
Total group revenue was 51% lower than for the same period last year, reflecting store closures and the sale of the health clubs business.
JJB’s suppliers took flight last year during the depths of its troubles. Many credit insurers withdrew cover and shop shelves in many locations were left empty.
In today’s trading upbeat the company said: “As previously reported, the lack of new stock has damaged sales. This position is steadily improving with stock for the new spring ranges being received over the recent weeks with further deliveries due over the coming months.
“The company is on target for being fully stocked by April. Stock holding at 24 January was £74m which is £24m higher than at the half year end when it was £50m.”
JJB said the bad weather this month had forced it to run its sale until last Friday – a week longer than had been planned.
On a positive note it said internet sales have risen 28% like-for-like.
