Huge fire in warehouse destroys Primark's clothes

Huge fire in warehouse destroys Primark's clothes

	Published : Thu, 03 Nov 2005 10:05 By : Richard Owen Print this Story

LONDON: A major fire last night at a warehouse in Lutterworth, Leicestershire, destroyed clothes intended to be supplied to budget fashion store Primark. Associated British Foods, which owns Primark, estimated the damage to be in the range of tens of millions of pounds.

At least half of the entire stocks at the warehouse were destroyed in the fire, according to sources, and a police spokesman said an ongoing investigation has been commenced into the cause of the catastrophe. No one was injured in the fire.

Primark, under pressure now to meet the Christmas sale needs, immediately scouted for alternative sources even as rival retailers like Next and Marks & Spencer hoped to cash in on the shortfall. A Primark spokesperson said the damage appeared to be so serious that he could not guarantee that there would not be a shortage of stock in the British stores in the coming weeks.

Some 15 fire engines were engaged in putting the blaze off in the 300 sq. metre warehouse. People involved in the exercise narrated how the fire engulfed the whole area in a matter of minutes mainly because of the presence of flammable material in the warehouse.

The company spokesperson said a back-up facility in Lutterworth as well as a warehouse in Birmingham were unaffected by the fire. Primark is also fully insured for the stock loss and for business disruption. Logistics company TNT NV owned and operated the warehouse.

Primark's budget clothes have been a hit on the high streets, as there is a severe constraint in spending because of the cash crunch.

Associated British Foods, apart from owning Primark, is the maker of Silver Spoon sugar, Ryvita crispbreads and Blue Dragon range of ethnic foodstuffs and Europe's fifth largest food producer.

Primark had an operating profit of 108 million pounds last year and sales of 858 million pounds. It employs over 11,800 people in its 123 stores in the U.K. and Ireland.