American jewellery and accessories retail chain Claire’s has denied all speculations and reports suggesting major store closures and filing of CVA. Speculations emerged as Claire’s US parent company emerged from debt negotiations.
Earlier reports had said that the company was taking advices from restructuring firms about “a number of options”.
Ron Marshall, CEO, Claire’s, affirmed, “We have no plans for either a CVA or major store closures in the UK in the foreseeable future. Recently emerging from the chapter 11 process in the US has enabled us to financially restructure, reducing our debt by $1.9 billion and giving us access to $575 million in capital, so we are now in a better position than ever to be able to invest in the business further, especially in our vitally important store portfolio as we continue to grow and expand the Claire’s business.”
The retail chain also maintained that the firm is “emerging stronger than ever from the chapter 11 process and that any of their stores opening and closing are part of “normal business practice”.
Claire’s operates through a total of 2,471 stores in 17 countries throughout North America and Europe, excluding 6,631 concession locations, as of August 2018. Additionally, Claire’s is also present in 687 franchised stores in 28 countries primarily located in the Middle East, Central and Southeast Asia and Central and South America, Southern Africa and Russia.
The development came just hours after another major, Sears, filed for Chapter 11 bankruptcy on Monday. It’s a total save for Claire’s when CVAs have hit the headlines drastically this year. In any case, the store known and loved among teens, has previously stressed that its European operations would not be affected by the American business.
