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Solomon Lew's Premier Investments is back on the offensive with department store Myer.

Lew, the chairman of Premier Investments and the company's largest shareholder, has reignited public criticism of Myer after a two-year campaign against the retailer.

The announcement follows a dire trading result for Myer, with a 15.9% drop in sales for the 12 months to June 30.

Myer reported total sales of $2.5 billion, as widespread store closures and sharp declines in foot traffic hit results.

Earnings before interest, tax, depreciation and amortisation (EBITDA) fell to $305.3 million, declining 41.6%.

Myer saw a net loss after tax of $11.3 million, with a 61% surge in online sales to $422.5 million not enough to bolster fortunes.

Premier Investments said the results were "disastrous and shameful", in a statement to the market.

"Two years into John King’s tenure – it’s clear the Myer turnaround is in tatters," the statement read.

"It’s now time for the CEO to follow the Board through the exit.

"The numbers are dire – notwithstanding the impact of COVID-19, the business is trading beyond poorly – sales are down, EBITDA is down – on top of massive further write-downs to its brands and leases.

"Myer is crowing about its online offering, yet by its own admission online sales are actually eroding profits.

"After years of underinvestment, its antiquated online offering is dilutive to EBITDA margins. As one analyst questioned on today’s earnings call – we’re now more than two years into John King’s turnaround and it remains unclear what Myer stands for in the eyes of customers.

"As a long suffering investor and supplier, Premier itself is perplexed."

The statement also attacked Myer's recent partnership with Amazon, which allows customers to collect orders from its store network. 

"Myer appears to be transforming itself into the world’s most expensive Post Office," Premier continued.

"It’s latest deal hinges on the hope Amazon customers buy something else on whim when they collect product from the Myer badged post office.

"It is desperate and sums up just how lost Myer is. It must be close to the end for suppliers who can no longer obtain credit insurance cover.

"The Lew Group has dramatically reduced its own exposure to Myer and we are aware that other leading suppliers are hesitant to do business, particularly with the banks controlling the security."

The statement also questioned remuneration rates at the department store.

"In exchange for delivering today’s statutory net loss after tax of $172.4 million – the second biggest loss in Myer’s history, Chairman Gary Hounsell has been paid $246,000, while John King pocketed $1.59 million. Yet again Myer shareholders have been taken for a ride."

Ragtrader has contacted Myer for comment. 

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