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| Burberry burns bags, clothes and perfume worth millions | Burberry burns bags, clothes and perfume worth millions |
| (35 minutes later) | |
| Burberry, the upmarket British fashion label, destroyed unsold clothes, accessories and perfume worth £28.6m last year to protect its brand. | Burberry, the upmarket British fashion label, destroyed unsold clothes, accessories and perfume worth £28.6m last year to protect its brand. |
| That was 6% higher than the value of products the company disposed of in the previous financial year. | That was 6% higher than the value of products the company disposed of in the previous financial year. |
| Fashion firms including Burberry destroy unwanted items to prevent them being stolen or sold cheaply. | Fashion firms including Burberry destroy unwanted items to prevent them being stolen or sold cheaply. |
| Burberry said that energy generated from burning its products was captured, making it environmentally friendly. | Burberry said that energy generated from burning its products was captured, making it environmentally friendly. |
| The FTSE 100 company said last year was unusual as it had to destroy a large amount of perfume after signing a new deal with US firm Coty. | The FTSE 100 company said last year was unusual as it had to destroy a large amount of perfume after signing a new deal with US firm Coty. |
| As Coty would be making new stock, Burberry had to dispose of £10m worth of old products - largely perfume. | As Coty would be making new stock, Burberry had to dispose of £10m worth of old products - largely perfume. |
| "Burberry has careful processes in place to minimise the amount of excess stock we produce. On the occasions when disposal of products is necessary, we do so in a responsible manner and we continue to seek ways to reduce and revalue our waste," a spokesperson for Burberry said. | |
| Over the past few years, Burberry has been working hard to make its brand exclusive again after it went through a phase when counterfeiters were "sticking the Burberry check on anything they could", said Maria Malone, principal lecturer on the fashion business at Manchester Metropolitan University. | |
| Destroying unwanted products is part of that process, she said. | |
| "The reason they are doing this is so that the market is not flooded with discounts," Ms Malone said. | |
| "They don't want Burberry products to get into the hands of anyone who can sell them at a discount and devalue the brand." | |
| Tim Jackson, head of the British School of Fashion at the Glasgow Caledonian University in London, said luxury fashion firms such as Burberry faced a "paradox". | |
| They have to grow at the risk of "diluting their identity and creating excess stock", he said. | |
| "There's no way they are ever going to solve this problem." | |
| Last November, Burberry announced a revamp intended to "re-energise" its products over several years. | |
| That includes taking its brand further upmarket, closing stores that are not in "strategic" locations and creating a "centre of excellence" for luxury leather goods. | That includes taking its brand further upmarket, closing stores that are not in "strategic" locations and creating a "centre of excellence" for luxury leather goods. |
| It has also cut costs, which has helped boost profits. | |
| In Burberry's most recent financial year to 31 March, the company reported a 5% rise in profit to £413m, with sales little changed at £2.7bn. | In Burberry's most recent financial year to 31 March, the company reported a 5% rise in profit to £413m, with sales little changed at £2.7bn. |