UK Overview

Signet is the largest specialty retailer of fine jewelry in the UK, with 552 stores and a total market share of approximately 10.8% (calendar 2008 10.7%). It trades as H.Samuel (12% of sales), targeting the middle market, and Ernest Jones (10% of sales), positioned at the upper end of the middle market. Total sales during fiscal 2010 were £461.2 million; H.Samuel’s sales were £247.8 million (fiscal 2009: £250.3 million) and Ernest Jones’s £209.8 million (fiscal 2009: £208.3 million).

At January 30 2010 there were 347 H.Samuel stores and 205 Ernest Jones stores (including 15 Leslie Davis stores). H.Samuel is the largest chain of specialty retail jewelers in the UK and its stores are located in virtually every medium and large retail center. Ernest Jones, the UK’s second largest specialty retail jewelry chain, is represented in most large retail centers.

The strategy in the UK is, over time, to increase average transaction value by focusing on merchandise where the division’s competitive advantages are greatest, particularly diamond jewelry, differentiated ranges and watches, thereby improving store productivity and achieving operational leverage. To achieve this, the division has an integrated series of initiatives in the key areas of retail execution to continue the improvement of customer service, merchandising, marketing and real estate.