Judul : Collapsed fashion house Jaeger will repay just 2p for every pound of the £50 million it owes to creditors
link : Collapsed fashion house Jaeger will repay just 2p for every pound of the £50 million it owes to creditors
Collapsed fashion house Jaeger will repay just 2p for every pound of the £50 million it owes to creditors
Reuters / Luke MacGregor
Clothes hang on coat hangers in a Jaeger store in London September 14, 2009
LONDON — Creditors of collapsed fashion house Jaeger are owed nearly £50 million pounds but will receive less than two pence back for every pound they are owed, according to an administrator’s report.
The report, filed on Tuesday by Alix Partners to Companies House, shows that unsecured creditors across the four trading companies which make up the brand are owed £49.17 million in total.
Only creditors of Jaeger Company’s Shops Limited — which are owed £29.12 million — are set to receive any compensation at all.
Creditors of Jaeger Company Ltd, which bought the stock sold in Jaeger stores and online, are unlikely to recover any of the £11.5 million they are owed.
A group of angry creditors led by textile magnate César Araújo — who is owed over half a million pounds — are demanding an investigation into the collapse of the fashion house, the Times reports.
The 113 employees who were made redundant will be fully compensated for unpaid wages totaling £51,565, the administrator’s report says.
Jaeger was a well-known British brand which operated for 133 years, but collapsed in April after failing to keep pace with rapidly changing high street conditions.
Read more stories on Business Insider, Malaysian edition of the world’s fastest-growing business and technology news website.
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