End of the line for UK fashion chain
KPMG called in to UK division of Morgan
Administrators from KPMG Restructuring have been called in at the UK division
of fashion brand, Morgan which has been forced to close 19 stand-alone stores
and 47 department store concessions.
KPMG’s David Crawshaw and Myles Halley were today appointed administrators at
Morgan UK after the withdrawal by Morgan SA, of its distribution agreement in
the UK.
Crawshaw said: ‘Morgan has suffered from difficult trading conditions on the
high street. Trading for the first six months of the financial year to June has
been poor with like-for-like sales down 19.1% to £11.8 million.’
He said that because of this and subsequent losses, the company faced an
increased funding requirement to pay wages, landlords and creditors.
Crashaw said KPMG was forced to wind down the business with approximately 600
staff made redundant.