Jonny Marston, Mark Firmin and Howard Smith from KPMG’s Restructuring practice were appointed joint administrators to Collectables Retail Limited and the related business Xystos Wholesale Limited on 25 September 2013.
The company trades as a gift retailer from eleven stores across the North East, Yorkshire and Cumbria, and as a furniture retailer from three units at Collectables Retail Park, Stockton.
Trading at the 27 year old family business has been hit by the challenging economic environment for the retail sector, which has impacted on its performance.
KPMG Joint Administrator, Jonny Marston, says: “Sustained difficult trading conditions have resulted in the business facing cash pressures with a further increased demand for working capital in preparation for the Christmas trading period.
“We are now assessing the company’s financial position and the options available, whilst marketing the business and assets for sale.”
The administrators have closed the stores while they conduct their initial analysis of the company. On the day of appointment 25 of the firm’s 200 employees were made redundant from the head office in Blaydon. The situation is uncertain and the administrators will provide a further update in the coming days once a trading strategy has been determined.
The company operates from 13 leasehold stores and owns a freehold store in Alnwick.
Any parties wishing to express an interest in the business and/or assets of the company should contact James Lumb on 0191 401 3939 / firstname.lastname@example.org.
Alison Anderson, KPMG Corporate Communications
T: 0113 254 2980 E: email@example.com
KPMG LLP, a UK limited liability partnership, is a subsidiary of KPMG Europe LLP and operates from 22 offices across the UK with over 12,000 partners and staff. The UK firm recorded a turnover of £1.8 billion in the year ended September 2012. KPMG is a global network of professional firms providing Audit, Tax, and Advisory services. We operate in 156 countries and have 152,000 professionals working in member firms around the world. The independent member firms of the KPMG network are affiliated with KPMG International Cooperative ("KPMG International"), a Swiss entity. KPMG International provides no client services.