BusinessBusiness RecoveryMazars appointed administrators at Faith

Mazars appointed administrators at Faith

Administrators called in for the second time in three years at Faith shoe chain

Administrators from Mazars have been called in at collapsed retailer FEC
Holdings, the owners of shoe chain Faith.

Heath Sinclair, Rod Weston and Mike Wellard of the London office of
international accountancy firm Mazars have been appointed joint administrators.

FEC Holdings has estimated outstanding debts of £14m. This is the second time
in three years Faith has fallen into financial difficulty.

In 2008 the shoe retailer entered a pre-packaged administration and was sold
to retail entrepreneur John Kinnaird and investment fund Agilo.

Heath Sinclair, partner and joint administrator at Mazars, said: Following
financial difficulties the current management team took control of Faith in
2008. Despite extensive restructuring, it became apparent the business remained
significantly over-leveraged and, as a result, steps were taken recently to
market the business for sale.

“We are liaising with interested parties in an attempt to facilitate a going
concern sale. We will be working closely with the businesses’ stakeholders in an
effort to preserve a well-known retail brand,” he said.

Sinclair added the business had been marketed for the past few weeks however,
it recently “became apparent that achieving a solvent sale was not possible”.

The business has 362 full time and 1,382 part-time staff, it operates 78
stores and 120 concessions.

Further reading:

FTI
secures 2,000 Faith jobs in pre-pack sale

KPMG
hired as administrator for Dolcis

Wasps
stung by rumours of HMRC winding up petition

Insolvency
industry saves 2m jobs

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