Solomon Lew has blasted aggressive discounting in a letter to Myer shareholders.
The Premier Investments chairman, who owns a stake in the department store, addressed shareholders after Myer reported a loss of 3.4% for the financial year.
"This sales decline is despite the extr eme discounting program that Myer has been running for the past three months.
"Myer has been on aggressive sales mode for most of this year, and it’s just not working. Worse still, the heavy discounts will blow an even bigger hole in Myer’s losses.
"Myer has been selling dollar notes for fifty cents each, and they still can’t improve their sales.
"We shareholders will pay the price for this incompetenc ewehave already lost our dividends, and we will also soon be paying higherinterest charges and increased bank fees on Myer’s debt."
Lew alleged the department store is "trying to soften us up for another bad sales announcement" after citing a warm May in its announcement.
"Too warm? The weather has been great for retail during May, and industry feedback is that other retailers have had a stunning Mothers’ Day sales result."
Lew vowed he would continue to push for changes to Myer's board and strategic direction.