Esprit Holdings Ltd (Hong Kong) will close its 56 Asian stores as part of a restructuring plan. The company announced that stores in Hong Kong, Macau, Singapore, Taiwan and Malaysia would be shuttered by end of June. The brand would also be winding down its China operations.
Sales in Asia account for about 4 percent of global turnover, according to the company.
The move will help Esprit shed underperforming locations and focus on its core markets.
Esprit’s executive management has taken a 35 percent pay cut, among other staff pay reductions, to help mitigate the adverse impact on the group’s financial performance. Executive chairman of the board, Raymond Or Ching-fai, and Chief Executive Officer Anders Kristiansen will forgo their pay during the restructuring.
