The company will also stand down its entire executive team,which will work from home during the period for either no pay or reduced leave entitlements. Premier's brands include Smiggle,Peter Alexander,Jay Jays,Just Jeans and Portmans.
Continuing the company's hardline stance against landlords,Premier said it also intended to pay no rent across any of its stores during the period. Seventy per cent of its store leases either expire this year or are in holdover,providing the company with"extraordinary"flexibility.
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At the company's half-year result last week,chief executive Mark McInnesforeshadowed the company's decision to play hardball with landlords,saying they had"a role to play in ensuring retailers survive[this pandemic]".
In response,Scentre Group chief executive Peter Allen said he was"surprised"to see Premier announce a shutdown,saying it was"premature"while the government was still working through options for workers. Scentre holds 219 Premier stores in its portfolio.
"There is a legal obligation to pay rent even if the stores close and that legal obligation means we must engage in commercial discussions with our tenants,"Mr Allen said.
On Thursday,Mr McInnes said shutting stores was the"hardest decision"the company had ever had to make but noted it was"necessary"to preserve the business throughout the crisis. The company operates around 900 stores in Australia and is one of the country's largest retail tenants.