Packet Business
Staff await news at Peacocks Group
11:11am Wednesday 25th January 2012
Staff at Cornwall's Peacocks and Bon Marche shops are nervously awaiting news of the two stores' future after the collapse of parent company the Peacocks Group.
A deal has already been reached for the sale of the Bon Marche chain to private equity firm Sun European Partners that will see 1,400 jobs lost and 160 stores closed.
It will see 230 shops remain open across the UK, but the company has refused to speculate publically on which shops are set for closure, leaving staff facing an uncertain future.
A spokesman for the company has said a decision will be made in days and staff at individual stores will be told as soon as possible.
It is hoped a deal can also be struck for the Peacocks shops across the UK, with 563 stores and 48 concessions currently open.
Administrators KPMG have said the shops will remain trading while a buyer is sought.
It has been rumoured Sun European Partners are interested, as well as Edinburgh Woollen Mill and Tesco.
A total of 50 firms are said to have expressed an interest in buying all or part of the company.
The Peacocks Group collapsed last week after talks with Barclays and RBS banks failed to reach an agreement on restructuring the company's £240 million debts.
Chief executive Richard Kirk issued a statement to staff saying: "Peacocks is a brand with great heritage, and it is with deep sadness that we have been left with no other option but to today place the business into administration.
"We have worked tirelessly over the past year to agree a new financial structure to take the business forward in the current, tough retail environment, including seeking new investment for the business.
"This is a hugely sad development for all of our stakeholders, especially our employees who have shown total commitment to the business over an uncertain and difficult period."