After a few years of uncertainty and restructuring attempts (including a CVA), the 114-year old retailer has called in the administrators putting nearly 1,200 jobs at risk.
The company has appointed joint administrators from AlixPartners to oversee the process and look for possible buyers for all or parts of the business. Reports suggest there are a number of interested parties already. Stores will stay open and the company will continue to trade while in administration.
One of the joint administrators, Peter Saville, said in a statement, “Our priority now is to work with all stakeholders and determine the optimum route forward for the business as we continue to serve customers throughout the UK and Ireland.”
“Austin Reed is a well regarded and iconic brand, and therefore we are confident that it is an attractive proposition for a range of potential buyers; as such, we expect, and welcome, contact from interested third parties.”
The retailer has faced an uphill struggle over the last few years due to tough competition, falling sales and dwindling suppliers. The company reported a loss of £5.4 million last year.
Gift vouchers can now only be redeemed in store and not online. Customers will not be able to get refunds for items bought before 26th April.
We are not involved in the administration and questions should be directed to AlixPartners who are handling the administration.
If you are an employee of the business, please listen to the video below as it will tell you your rights as an employee of an insolvent business. There is a link at the end of the video to the Government website which expands further on what you need to know.