Deloitte administrators order Woolies 'closing down' sale

The administrators running Woolworths have ordered a ‘closing down sale’ for
today indicating they have so far failed to find a buyer for the High Street
variety store.

The move comes after a week of speculation over possible buyers. Reports
suggest the Deloitte administrators – Neville Kahn, Nick Dargan and Dan Butters
– have received expressions of interest but have yet to see a firm offer from
any of the parties involved.

The Press Association reports today that Woolworth’s employs 30,000 people
with 25,000 working in retail.

There has been some speculation that the closing down sale is aimed at
shaking out firm offers, but there has been little to confirm that from the
administrators.

The administrators will also be attempting to not just clear stock but
generate cash for the business.

There has also been suggested that Woolies could be sold off piecemeal,
especially to other retailers keen to occupy the hundreds of High Street
locations up and down the country. But this likely to be a much more complicated
task for the administrators and is there is no guarantee such an approach would
achieve the best return for creditors.