Watch out!, page-89

From PMV report (and in summary of interview, linked above)

Premier consolidated balance sheet remains strong

• – Cash on hand of $185.5 million at end of 1H18
  
  
• – Inventories clean at half year end
  
  
• – Balance sheet at end of 1H18 shows investment in associate (Breville Group Limited) as $221.3 million. The current market value of this investment $447.4 million2
  
  
• – Investment in Myer Holdings Limited of $54.8 million
  
  
• – Franking credit pool of $221.2 million
  

• As consumers continue to increase their online shopping, the focus continues on individual store profitability to drive shareholder returns. Where landlords do not continue to invest in overall shopping experiences and/or adjust their rent expectations in line with the performance of their own centres, and given the major shift in consumer behaviour, further store closures will be necessary
  
  
• Many landlords are offering other international and local fast fashion retailers significant capital and low rents to enter their centres during development. Unless those landlords offer Premier Retail the same capital and rent they are offering Premier Retail’s competitors, then Premier Retail will escalate the closure of all brands in those centres. Premier can more efficiently allocate capital and achieve shareholder returns from investment in the online channel, further international expansion of our key brands or opening in other shopping centres where landlords respect the nature of Premier Retail’s 7 brand portfolio
  
  
• As a direct result of unrealistic rent expectations, after over 30 years trading and generating over $5m sales in FY17, Premier Retail closed its Just Jeans and Portmans Melbourne Flagship stores in the Bourke Street Mall in October 2017, as part of the ongoing program to close unprofitable stores