D2 Jeans chain collapses but Gloucester store survives cull
THE future of a Gloucester store is in doubt after another chain collapsed into administration.
D2 became the first notable post-Christmas retail casualty this week.
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D2
Administrators closed 19 stores and 200 staff were made redundant.
The remaining 28 stores, including the one in Westgate Street, Gloucester, are being run as a going concern, while administrators seek a buyer for parts or all of the business in the hope of saving the jobs of hundreds more employees.
BDO LLP administrator James Stephen said: "It is unfortunate that the economic climate and extremely difficult trading conditions have significantly affected the retail sector.
"However, we are hopeful of securing a sale of all or part of the business and will continue to trade the business while this is explored."
BDO LLP yesterday confirmed the Gloucester site would remain open through the administration.
A spokesman said:
"We appreciate this will be a distressing time for staff at D2, especially for those employed in stores which have closed."
It is the second time in two years that the chain, originally set up by Scottish entrepreneur Sir Tom Hunter, has gone into administration.
Last time, it was understood that around 500 jobs were saved as its management struck a deal to buy more than 40 of its stores out of administration.
Casualty
But around 32 stores – employing more than 300 staff – were not included in the rescue deal.
Yesterday Ivan Taylor, chair of trading association Westgate Quarter, said he was not surprised to hear of the latest casualty. He said: "The high street across the country has gone into free fall - sales are now 24/7. Obviously the bigger chains and organisations have tough competition.
"I think 2012 and 2013 will be better years for Gloucester. There is a lot happening and a lot of regeneration in Gloucester."
8 Comments
by AF1980
Monday, January 02 2012, 9:36AM
“Camerony2K, why don't you get your facts right? The council has not only increased car parking charges over the past few years to riduculous levels, but it has also added Sunday charges, and increased the hours. Oh, and the council has added machines to previously un-charged roads, like GWR. I for one refuse to shop in Gloucester now because of these charges. The council only have themselves to blaim.
I can't be the only one- you want proof? GCC is complaining that it's parking revenue is dropping, and this is despite the increases in charges!
As for D2 collapsing, I've never heard of it before!”
by Desenchanter
Saturday, December 31 2011, 12:01AM
“Is it a bit too obvious to state that we as a nation must build up our manufacturing capability again. All of these shops are going by the wayside because of harder trading conditions, but what is being unsaid is that virtually all that they sell is being imported. We aren't exporting or buying our own made goods, and this is strangling the rates at which we import the goods at. when the cost of them rises due to a weakening currency, then the wholesalers and retailers margins like this company are being squeezed. On top of this, Rents and rates are rising, and customers are being discouraged from visiting by rising fuel costs (driven up by our weakening currency - see above), and rising parking charges, and the aggressive approach to soaking anyone who dares to turn up in a car (turning all of the time limited on street parking into pay and display, and soaking the residents with permit charges).
It is only going one way, and there are too many vested interests to break the cycle. We as a nation are heading into poverty with the haves on public sector pensions being eventually taxed very hard to provide the minimum subsistence payments to the 'have nots' who will eek a living on the state pension.”
by camerony2k
Friday, December 30 2011, 6:38PM
“NibNobs..
NCP are putting the parking charges up at their Bruton Way Car Park the City Council are not putting theirs up Kings Walk Eastgate Centre and Longsmiths Street etc.
Before people start moaning get your facts right”
by NibNobs
Friday, December 30 2011, 5:56PM
“It's not good news on the high street is it - as well as D2 just this week La Senza, Harpers Bazaar, Past Times, Barratts & Priceless shoes all into liquidation looking for a saviour to take them on - they join Blacks Leisure & Millets and many more looking for a buyer and with hundreds of Mothercare, BHS, Dorothy Perkins,Top Shop branches to close as well as Thomas Cook travel agents and Comet outlets to shut next year. And what do our councils do.... yes, they put up parking charges!!”
by dcfc79
Friday, December 30 2011, 5:04PM
“Its been there for a good few years, used to be called fosters at 1 point.”
by Glos_Lad34
Friday, December 30 2011, 4:55PM
“I've only heard of D2 like 2-3 months ago and have never been in it.”
by dcfc79
Friday, December 30 2011, 4:32PM
“Never heard of what thomas ?
Im not surprised really, been in a few times and never seen it busy at all.”
by thomas1996
Friday, December 30 2011, 9:56AM
“I've never heard of it. I suspect the increased parking charges in Gloucester won't exactly help it's future. Good luck to the staff”