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Exclusive: House of Fraser distribution centres close again

House of Fraser’s distribution centres in Wellingborough and Milton Keynes have closed again shortly after reopening, Drapers understands.

The sites were closed as the result of a dispute between House of Fraser’s new owner Mike Ashley and site operator XPO Logistics, but reopened on 24 August.

Sports Direct and XPO have been at loggerheads since HoF fell into administration on 10 August.

HoF took its website offline on 15 August following a dispute with XPO, which stopped accepting goods and processing deliveries for the retailer. The following day HoF contacted shoppers to say it had cancelled all orders that had not yet been sent.

The House of Fraser website is still down and directing shoppers to Flannels, which is also owned by Sports Direct. 

HoF owes XPO Logistics £30.4m.

Drapers has contacted Sports Direct and House of Fraser for comment.

Readers' comments (3)

  • Ashley will not be respected and HOF will not work until he pays up what he owes. What about all the suppliers that are still owed money for stock he is selling in his stores?The ownership of that stock remains the property of the supplier until it is paid for. Come on Ashley do the decent thing and stop running away from your responsibilities.

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  • Retention of title was finished when EY allowed HOF to be sold, Ashley owes nobody anything......

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  • under previous ownership HOF's finances were run into the ground. Creditors paid the price when the administrators were called in. Now it's owned by Sports Direct and has proper funding - better news for suppliers, but only if they get over the irrecoverable losses they suffered under last owner and move on.

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