Clintons to close 1 in 5 stores amid fears the card chain is close to collapse

Clintons is set to close one in five shops with fears growing that the greeting card chain is on the brink of collapse

The chain is said to have warned landlords that it needs to fold 66 of its 332 shops and is calling for slashed rents as Britain’s high streets continue to flounder.

It is reported that landlords last week called for cheaper rents on more than 200 stores, while a string have been earmarked for closure.

If landlords agree, the new deals would link rents to each store’s performance, reports claim, with the firm only paying full rates on 60 of its sites.

Key stakeholders in the firm, which employs 2,500 people, are said to be due to vote on restructuring proposals next month.

The proposals are said to lay the groundwork for a company voluntary arrangement (CVA) in a bid to prevent insolvency.

The firm, owned by the Weiss family, recorded a loss of £14.2m in 2018, narrowed from £19.4m the year before.

Restructuring documents seen by The Sunday Telegraph said: “Approximately 90 of the company’s stores are currently loss-making with the business forecasting that sales will continue to decline.”

The news comes as yet another blow to Britain’s high streets, after Mothercare collapsed into administration last week – putting 79 stores and 2,500 jobs at risk.

The Mirror’s High Street Fightback campaign, launched last year, has been highlighting the plight of town centres and calling for action to support our struggling high streets.

A Clintons spokesman said: “Discussions are continuing with our landlords but no decisions have been made.”

Source: Read Full Article