PAYMENTS DELAYED IN CONTRACT WAR

THE owner of trainer chain JD Sports has refused to pay rent on hundreds of stores for the past six months – despite making record profits of nearly £440million.

JD Sports Fashion has suspended payments while negotiating what it believes are “fair” terms with store landlords.

“If the rents were fair I’d pay them in a flash,” JD executive chairman Peter Cowgill told the Mirror. “They are disadvantaging the strong to subsidise the weak.”

The firm argues other retailers have used the threat of closing their stores to get landlords to cut rents.

Cowgill warned it was also prepared to shut stores if deals cannot be struck.

The group owns more than 2,200 outlets worldwide, including 400 JD and Size? shops in the UK and Ireland, plus the Millets and Blacks chains. JD put its

Go Outdoors chain into administration last month, then bought it back, safeguarding most of the offshoot’s 2,400 jobs for now. But it wants better terms from landlords of its 67 stores.

The tough stance comes despite JD yesterday revealing profits increased by 24% to £438m in the year to February, with revenues rocketing 30% to £6.2billion.

Takings have been strong in stores since the coronavirus lockdown reopenings.

JD is trying to overturn a Competition and Markets Authority ruling to sell Footasylum, the rival sports shoe and clothing retailer it bought last year.

Cowgill, who said the appeals tribunal would not consider any further input from arch-competitor Sports Direct, added: “I am optmistic”.

EMPIRE Chain has 2,200 shops

Halfords » saw a 57% surge in cycling sales during the coronavirus lockdown, boosted by people avoiding public transport. However, sales of car-related products dived 45% as fewer drivers took to the road.

Group profits fell 4.9% to £55.9million for the year to April. But trade at Halfords’ car repair chain Autocentres surged 19%, helped by the purchase the of McConechy’s and Tyres on the Drive chains.