Tue 05/19/2020 12:10 PM
Relevant Documents:Press ReleaseFiscal Year 2018
German retailer Fashion Store GmbH has applied for self-administered insolvency to tackle difficulties caused by the Covid-19 crisis, the company said last week. The local court of Bielefeld, in the North West of Germany, approved the application and appointed lawyer Hans Achim Ernst as provisional administrator as of May 13.
Fashion Store said its credit metrics would usually have allowed it to access loan financing but it runs five Esprit stores and the insolvency process for Esprit Holding in Düsseldorf has become a risk that can’t be calculated, Fashion Store said in a statement.
“The insolvency in self-administration will help us implement our restructuring plan and rebuild a solid ground for the company. It will also help us to separate from Esprit and secure jobs in the long-term,” Fashion Store’s operating manager Udo Kemena said in a statement.
The retailer which is based in Bünde, Germany, maintains 12 stores in the region, five of which are Esprit, while the others are branded FASHIONSTORE, MENSTORE and Zeitgeist.
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