Rain

Rain

max temp: 11°C

min temp: 6°C

ESTD 1874 Search

UK: 2,000 jobs at risk as camera chain Jessops enters administration

14:23 09 January 2013

Jessops

Jessops

AROUND 2,000 jobs at camera chain Jessops are under threat after the group collapsed into administration today, with a warning that store closures are “inevitable”.

PricewaterhouseCoopers (PwC) has been appointed to the group, which is Britain’s only specialist nationwide camera retailer, with nearly 200 stores, including branches in Ipswich Bury St Edmunds, Colchester, Lowestoft, Chelmsford, Cambridge and Norwich.

It marks the first high-profile retail collapse of 2013 and comes soon after consumer electricals chain Comet hit the wall, sparking more than 6,000 job losses.

Jessops, which has its headquarters in Leicester, has suffered in recent years from online competition and the boom in camera phones, which has hit demand for digital cameras.

It underwent a major overhaul in 2007 and a swathe of store closures, but came close to collapse two years later before being rescued by its main lender HSBC in a controversial debt-for-equity swap that saw it taken off the stock market.

The bank took a 50% stake in the business in return for writing off £34 million of loans.

There was speculation last year that suppliers such as Canon were considering injecting cash into Jessops to help prop the business up, but no deal materialised.

Rob Hunt, joint administrator and a partner at PwC said today: “Over the last few days the directors, funders and key suppliers have been in discussions as regards additional consensual financial support for the business.

“However these discussions have not been successful. In light of these irreconcilable differences the directors decided to appoint administrators and we were appointed earlier today.

“Our most pressing task is to review the company’s financial position and hold discussions with its principal stakeholders to see if the business can be preserved.

“Trading in the stores is hoped to continue today but is critically dependent on these ongoing discussions. However, in the current economic climate it is inevitable that there will be store closures.”

“Finally, at present Jessops is not in a position to honour customer vouchers or to accept returned goods,” he added.

Jessops last year also suffered the loss of its chief executive Trevor Moore, who left to head up HMV, as well as its chairman David Adams.

Martyn Everett was then appointed as chairman and Neil Old was promoted to lead the business as chief operating officer.

The firm began life in 1935 when Frank Jessop opened his first shop in Leicester.

0 comments

Ipswich Basketball

Ipswich Basketball head coach Nick Drane has criticised the decision to deny the sport any funding for the Tokyo Olympics, saying it feels like “no-one cares”.

The Old Mill House, Saxtead

A Suffolk heritage charity has called on developers to rethink plans for three new homes to be built behind a 17th village century pub.

Fundraisers in varying guises of Dr Who handover the £2,083.54 raised after they manned a stall at Bury’s Christmas Fayre to St Nicholas Hospice Care

A Tardis, a Dalek, Davros and a bunch of Time Lords helped a group of die-hard Doctor Who fans to collect more than £2,000 for charity.

The RSPCA centre in Martlesham is appealing to animal lovers to consider adopting a new pet

The RSPCA are appealing for animal lovers to come forward and adopt some of the cute creatures they are looking to rehome.

Staff at Allonsfield House care home dressed as Land Girls for the event

Care home residents were taken back to 1940s Suffolk complete with wartime rations, air raid sirens and dances to Vera Lynn.

Ipswich Crown Court

A trainee plumber has been cleared of wounding an Essex soldier who underwent surgery after he suffered a fractured cheekbone in an alleged late-night attack in Colchester.

A man is due to be sentenced after acting as a lookout in three business burglaries.

A man who acted as a lookout during three professionally organised burglaries at business premises, including two in Suffolk, has been warned he could be jailed when he is sentenced next month.

Most read

Great Days Out

cover

Click here to view
the Great Days Out
supplement

View

Most commented

HOT JOBS

Show Job Lists

Streetlife

Newsletter Sign Up

Sign up to the following newsletters:

MyDate24 MyPhotos24