Bhs to cut costs with in-house PR operation

Troubled high street retailer British Home Stores is cutting operating costs by bringing its PR operation in-house.

Troubled high street retailer British Home Stores is cutting

operating costs by bringing its PR operation in-house.



The company, which was part of the Storehouse retail group until May,

was bought by corporate raider and business-turnaround specialist Philip

Green.



Green has built a career on buying retail chains at the bottom of the

market then cutting costs and improving management before selling them

again. He paid more than pounds 200 million for Bhs, which shareholders

complained at an emergency general meeting last May undervalued the

company.



The two-strong PR team at Bhs, led by PR manager Karin Silverstein, has

now doubled in size, with further hirings in the offing. Kim Blake PR,

the consumer agency which handles Bhs’ product work, is to stop work for

the chain later this month. It has been Bhs’ main agency for three

years.



Brunswick, which handled financial PR for Storehouse has continued to

work for the renamed Mothercare plc.



Bhs’ new status as a limited company means it has no obligation to make

public its trading figures as listed firms do. Finance director Paul

Coackley is currently overseeing corporate PR, with assistance from

Silverstein’s consumer team.



Bhs’ profit to April 2000 was just pounds 13 million, compared with over

pounds 85 million the previous year.



Have you registered with us yet?

Register now to enjoy more articles and free email bulletins

Register
Already registered?
Sign in

Would you like to post a comment?

Please Sign in or register.