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| Version 2 | Version 3 |
|---|---|
| House of Fraser cancels all online orders | House of Fraser cancels all online orders |
| (about 1 hour later) | |
| House of Fraser has said it will cancel all online orders and refund customers after a dispute with its warehouse operator meant deliveries were delayed. | House of Fraser has said it will cancel all online orders and refund customers after a dispute with its warehouse operator meant deliveries were delayed. |
| It follows an outcry from customers who had not received goods ordered online. | It follows an outcry from customers who had not received goods ordered online. |
| Its warehouse operator, XPO Logistics, stopped processing orders late last week because of a payment dispute. | Its warehouse operator, XPO Logistics, stopped processing orders late last week because of a payment dispute. |
| House of Fraser has told over 1,000 suppliers it will not pay money owed before 10 August, when Sports Direct bought the chain out of administration. | House of Fraser has told over 1,000 suppliers it will not pay money owed before 10 August, when Sports Direct bought the chain out of administration. |
| 'Improvements' | 'Improvements' |
| On Wednesday, House of Fraser was forced to take its website down as deliveries began to back up. | On Wednesday, House of Fraser was forced to take its website down as deliveries began to back up. |
| A message on the site says the firm is "working hard to make some improvements to the website". | A message on the site says the firm is "working hard to make some improvements to the website". |
| The announcement that online orders have been cancelled has caused anger among customers. | The announcement that online orders have been cancelled has caused anger among customers. |
| One said on Twitter: "Absolutely disgraceful. Ordered a £90 purse last Thursday. Yes a week ago for my daughters birthday. Not 1 email concerning delivery or info and now order cancelled and you say email in a few days!!! Get my money back ASAP" | One said on Twitter: "Absolutely disgraceful. Ordered a £90 purse last Thursday. Yes a week ago for my daughters birthday. Not 1 email concerning delivery or info and now order cancelled and you say email in a few days!!! Get my money back ASAP" |
| Another said two-thirds of their husband's suit would not now be delivered. | Another said two-thirds of their husband's suit would not now be delivered. |
| They tweeted: "This was for our holidays! I don't have time to go back to Edinburgh with the trousers which are now totally useless! What do you suggest I do!" | They tweeted: "This was for our holidays! I don't have time to go back to Edinburgh with the trousers which are now totally useless! What do you suggest I do!" |
| Retail analyst Richard Lim, chief executive at Retail Economics, said there were "kinks to be ironed out" when there were changes of ownership and management at such a large operation as House of Fraser. | Retail analyst Richard Lim, chief executive at Retail Economics, said there were "kinks to be ironed out" when there were changes of ownership and management at such a large operation as House of Fraser. |
| He added: "But trust and loyalty are hard-won in retail. You would have thought that delivering a great service to customers would have been a priority for the company. | He added: "But trust and loyalty are hard-won in retail. You would have thought that delivering a great service to customers would have been a priority for the company. |
| "Delivering goods into the hands of customers now has to be the top priority going forward." | "Delivering goods into the hands of customers now has to be the top priority going forward." |
| Concessions | Concessions |
| XPO operates two warehouses, in Northamptonshire and Buckinghamshire, that handle all of House of Fraser's deliveries to customers as well as to stores. | XPO operates two warehouses, in Northamptonshire and Buckinghamshire, that handle all of House of Fraser's deliveries to customers as well as to stores. |
| It is among a number of suppliers to have taken action as negotiations over payment continue with the department store chain. | It is among a number of suppliers to have taken action as negotiations over payment continue with the department store chain. |
| According to reports, fashion brands Jigsaw and Karen Millen have removed some stock from their House of Fraser concessions. | According to reports, fashion brands Jigsaw and Karen Millen have removed some stock from their House of Fraser concessions. |
| Sports Direct is not legally obliged to pay suppliers money owed before its £90m buyout as their debts were part of the administration. | Sports Direct is not legally obliged to pay suppliers money owed before its £90m buyout as their debts were part of the administration. |
| 'Ongoing relationships' | 'Ongoing relationships' |
| Mr Lim says: "It is a complex situation, with lots of suppliers. | Mr Lim says: "It is a complex situation, with lots of suppliers. |
| "The fact that suppliers will not get paid money owed prior to 10 August is not a great surprise. The sum he paid for House of Fraser would have priced in that situation." | "The fact that suppliers will not get paid money owed prior to 10 August is not a great surprise. The sum he paid for House of Fraser would have priced in that situation." |
| However, businessman Philip Day, who also wanted to buy House of Fraser, has said Mr Ashley should pay suppliers - who are said to be owed £70m - "in full". | However, businessman Philip Day, who also wanted to buy House of Fraser, has said Mr Ashley should pay suppliers - who are said to be owed £70m - "in full". |
| Sports Direct, which bought the chain just hours after it went bust, has said it wants to "restore the right level of ongoing relationships" with its brands. | Sports Direct, which bought the chain just hours after it went bust, has said it wants to "restore the right level of ongoing relationships" with its brands. |
| Owner Mike Ashley has also vowed to keep open the bulk of the 59 House of Fraser stores. | Owner Mike Ashley has also vowed to keep open the bulk of the 59 House of Fraser stores. |
| Sports Direct already held an 11% stake in the group, which had been intending to close 31 shops under a now-abandoned restructuring plan. | Sports Direct already held an 11% stake in the group, which had been intending to close 31 shops under a now-abandoned restructuring plan. |
| Six offers | |
| Meanwhile, administrator EY has said there were six bidders for House of Fraser, with four of them - offering between £40m and £49m - being dismissed for various reasons. | |
| This left two potential names in the frame, with one of the remaining pair offering £1 to acquire the group on a solvent basis. | |
| This party then later proposed to acquire the business and assets following any insolvency for £100m - £10m more than what Sports Direct ultimately paid - before withdrawing their interest. | |
| Also, EY said there was "no prospect of any funds becoming available to unsecured creditors of either of the companies" House of Fraser Limited or House of Fraser stores. | |
| Has your online order with House of Fraser been cancelled? Share your story with us by emailing haveyoursay@bbc.co.uk | Has your online order with House of Fraser been cancelled? Share your story with us by emailing haveyoursay@bbc.co.uk |
| Please include a contact number if you are willing to speak to a BBC journalist. You can also contact us in the following ways: | Please include a contact number if you are willing to speak to a BBC journalist. You can also contact us in the following ways: |
| Or use the form below | Or use the form below |