David Jones shuts 19 stores and enters administration
Department store David Jones is closing 19 of its 38 stores and entering administration. This raises questions about rival Myer's future.
Reported by The Guardian
ShareWhy it matters
The collapse shows a broad shift in how Australians shop, moving away from traditional department stores toward online retailers and specialists. This suggests Myer's future remains uncertain.
In Australia. Australians will lose access to David Jones in 19 locations, affecting local employment and shopping choice; Myer may pick up some customers from closing David Jones outlets.
Key facts
- 19 of 38
- David Jones stores closing
- $100 million
- Myer cash buffer
- from 60 to 56
- Myer store cuts
- $4.1 billion
- Myer last year sales
- David Jones has entered administration and will close 19 of its 38 stores.
- The upmarket department store struggles with mounting debt.
- The collapse marks a sharp fall for a retailer once central to Australian family shopping.
- Long property leases tied to underperforming stores have hurt David Jones and Myer.
- Both retailers have also suffered as fewer shoppers remain loyal to department stores.
- Myer is in a stronger position with a $100 million cash buffer.
- But Myer faces its own struggles as shoppers move to online shopping and bargain hunting.
- Myer has cut its store count from 60 to 56 and is pushing online sales.
- Yet analysts say Myer remains strategically weak despite its cash advantage.
