Fashion chain Select will not close stores despite restructure
PUBLISHED: 14:30 13 April 2018 | UPDATED: 10:00 14 April 2018
High-street retailer Select will not close stores after creditors agreed to a restructuring plan which will save 2,000 jobs across the UK.
The women’s fashion chain, which has shops in Norwich, King’s Lynn, Fakenham, Thetford and Great Yarmouth, secured the required backing in a vote on Friday to continue operating with reduced rents, which it said saved 2,000 jobs.
The proposals, known as a company voluntary arrangement (CVA) were drawn up by Select’s directors alongside advisers from Quantuma and affect its 183 stores across the UK.
Andrew Andronikou, partner at Quantuma, said: “The proposal primarily seeks to obtain the approval from a number of the company’s landlords to accept a reduction in rent for some stores with an option to take back loss-making sites, which appears to reflect the current prevailing issues for businesses trading on the high streets.
“The company is committed to protecting employment and following the acceptance of the proposal, will seek to continue to operate all of its UK sites.
“In doing so, this should provide stability to landlords and staff with further costs savings to be achieved via economies of scale and a controlled review of operational costs and structures to be conducted outside of the CVA proposal.”