“Our organisations have collectively agreed to work through a managed transition that will see our relationship end in the coming months,” a BP spokesperson said.
“This follows a strategic review by David Jones of our Food business to focus exclusively on bespoke Food Hall experiences at our Elizabeth Street and Bondi Junction locations, and premium pantry and seasonal gifting range instore and online.”
The closure may be attributed to the retail giant’s failure to make a profit from its Food ventures, with parent company Woolworths Holdings group chief executive Roy Bagattini stating the business has “not transitioned fast enough “during an analyst call last September, reporter Dean Blake told Inside Retail.
On March 1, it was announced the company would shrink its gourmet food business, closing three stores in Victoria to stem losses that blew out to $12 million in the December half.
David Jones said at the time it would close food halls in Melbourne’s CBD, Capitol Grand and Malvern Central, choosing to invest more in Sydney’s Elizabeth St and Bondi Junction locations.