SIMON FRASER UNIVERSITY
BEEDIE SCHOOL OF BUSINESS
BUS 251 E100 (12-1)
TUTORIAL PRESENTATION QUESTIONS
Please review the Guidelines for Tutorial Presentations, which is
posted at the end of this file.
Marks & Spencer is one of the U.K.’s leading retailers of clothing and food.
It has over
78,000 employees, and more than 21 million customers visit its store locations every
It operates over 700 stores in the U.K., and another 361 partly owned or
franchised stores across Europe, the Middle East and Asia.
The company hopes to
expand internationally to reduce their exposure to U.K. economic cycles.
Michael Marks founded the company in 1884 in Leeds, England, with the slogan “Don’t
ask the price, it’s a penny”.
Tom Spencer joined as a partner, and Marks & Spencer
initially called their business ‘Penny Bazaars’.
By 1900 they had grown to 36 bazaars,
and 12 store locations.
Through the 20
Century they expanded their product lines –
over 70% of clothing sold is designed and manufactured exclusively for Marks &
Spencer, and food became an important product line from the 1970’s onwards.
The company’s year-end is the Saturday closest to March 31
For 2011, this meant an
ending balance sheet dated April 2
, 2011, and an income statement measuring
performance for the 52 weeks ending April 2, 2011.
For 2010, this meant an ending
balance sheet dated April 3
, 2010, and an income statement measuring performance
weeks then ended.
While the amounts in the 2010 column of the income
statement include an extra week, this will not have a significant impact on our analysis.
The Marks & Spencer Group is a public company, traded under the symbol MKS.L on
the LSE London stock exchange.
The closing share price at April 1, 2011 (the end of the
most recent fiscal year) was £338.90.
The company’s financial statements are prepared under the International Financial
Reporting Standards (IFRS), and all amounts are stated in millions of British Pounds (£).
At April 2, 2011 one U.K. Pound (£) was worth $1.55 Canadian.