Buyers eye troubled retailers
Expressions of interest are pouring in for troubled fashion labels Marcs and David Lawrence.
The brands are in voluntary administration in Australia and New Zealand, where in total they have 52 stores, 11 outlets and 140 concession stores.
Administrators Rogers Reidy announced yesterday that nine David Lawrence stores and four Marcs outlets will shut in about a week, making 20 staff redundant and putting another 50 staff in a state of limbo.
None of the 10 stores in New Zealand will close, giving a reprieve for their 42 staff.
Rogers Reidy’s New Zealand administrator, Paul Vlasic, said it was business as usual and the Kiwi stores were meeting budgets.
Expressions of interest closed next week and so far 38 have been received, he said.
Administrator Geoff Reidy said the stores identified for closure had been earmarked before his firm was appointed. He hoped that by reducing some of the costs, such as store leases, the stores would be more attractive to buyers.
The companies’ director, Malcolm Webster, has cited poor cashflow, tough conditions and deteriorating sales for his move.
David Lawrence and Marcs are the sixth clothing operators to collapse in Australia since December, putting nearly 4000 retail jobs at risk. –Fairfax NZ
Spark’s Simon Moutter says call-centre investment and a move to fibre have helped improve customer service.