DFS halts deliveries and manufacturing but still expects £15m monthly cost
DFS continues to take orders online but has halted its UK manufacturing and deliveries.
‘During this period, with support from the UK Government's coronavirus job retention scheme, we intend to maintain employment for our colleagues for as long as possible. Our people are our most valuable asset and we stand by them at this unprecedented time,’ says.
It says it will: significantly reducing its marketing, to reflect the current environment, apart from where cancellation terms are excessively punitive; pause all discretionary capital and operating expenditure including the deferral of six planned new showroom openings; agreeing with senior leaders of the business to reduce their pay while the shutdown continues, and defer all annual salary reviews and halt recruitment.
It has cancelled its half-year dividend, saving £8m, but expects to still face monthly costs of £15m.