Tuesday, October 08 16:57:48
Latzur Limited, trading as A|wear, has filed a petition with the High Court in Dublin seeking the appointment of an Examiner.
The Court has appointed Ken Fennell of Kavanagh Fennell as Interim Examiner, providing protection for A|wear, during the period of Examinership.
The purpose of the Examinership is to re-structure A|wear so as to put the business on a sustainable footing. A key element of the Examinership process is to protect as many jobs as possible. Today's appointment represents an important step in this process, the Examiner said.
All A|wear stores will trade as normal during the Examinership. A|wear's customers can be reassured that all ordered products, pre-payments, and gift cards will be fully honoured.
A|wear is a well established women's fashion brand, having built a reputation in Ireland for almost 30 years.
Voted last week as the Editors Choice for best Irish Store in the U High Street Style Awards for 2013, A|wear has 31 retail locations in Ireland and 9 concession stores in the United Kingdom.
The business employs 358 staff across its locations and head office which is based on Grafton Street, Dublin.
There are 117 full-time staff and 241 part-time staff between all retail operations and the head office functions. A|wear was acquired out of Receivership in February 2012. Since then, E7 million has been invested in the business.
As a result of the economic recession and the associated fall in disposable income, and consequent reduction in consumer spending, A|wear has experienced a significant reduction in sales, despite remedial action being taken by management. In addition, A|wear's ability to become profitable has been restricted by excessively high property costs and onerous property leases. This is a situation that can no longer be sustained. Management is determined to keep the majority of its 40 locations open as part of the Examinership process, if landlords enter negotiations. This will be a focus and priority during the Examinership process, the Examiner said.