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Wednesday 17 September 2014

Phones 4U shops closing down across UK

Retailer Phones 4U has gone into administration putting 5,596 jobs at more than 700 outlets at risk.
Accountancy firm PwC has been appointed to see if any of the 560 stores and 160 concessions can be re-opened or sold.
The retailer, owned by private equity firm BC Partners, blamed the decision to shut its shops on mobile network EE's decision not to renew its contract
This followed a similar move from Vodafone earlier in September.
"If mobile network operators decline to supply us, we do not have a business," said Phones 4U boss David Kassler.
The company said established mobile contracts taken out through it would not be affected, although phones ordered and not despatched - for example anyone ordering the new iPhone 6 over the weekend - would be. A customer service line will be open from Monday at 09:00.
In a statement, PwC said: "Our initial focus will be to quickly engage with parties who may be interested in acquiring all or part of the business, and to better understand the financial position and options for the company. The stores will remain closed while we have these conversations.
"We will also be talking to network operators and suppliers, and trying to access funds to pay for the costs of the business, including wages.
"These conversations will determine whether we can re-open stores and trade, and also if and when we can pay the arrears of wages to employees. Our hope is that we will be able to pay all the outstanding wages arrears."

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