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Asos mothballs Lichfield warehouse

Asos is to close its Staffordshire fulfilment centre in an effort to cut costs.

The online retailer opened the Lichfield warehouse two years ago, and has spent £90m making it fully automated.

The announcement came as Asos revealed that its pretax losses had widened in the year to September to £297m from £31.9m previously, while its sales had declined by 10% to £3.5bn.

Asos said its new commercial model required 30% less stock, meaning it could “simply mothball” facilities it no longer needed.

Asos expects the closure to save about £20m a year, and will give the company the opportunity to sell the site or reopen it in future if it is needed.

The Times (£)

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