STAFF at two East Durham stores are to lose their jobs.
Administrators for the Collectables gift shop chain have decided to close all 14 of the company’s stores – including two at Dalton Park – making 150 employees redundant across the North East.
A spokesman for accountant KPMG said: “After analysing the trading position of Collectables, the joint administrators have concluded it is not possible to continue trading the company’s 14 stores. Therefore, they will not be reopening during the course of the administration of the business.
“As a consequence, most unfortunately 150 employees have been made redundant, with a skeleton staff numbering 14 retained to assist the administrators as they continue to pursue a sale of the business and assets, while taking steps to manage an orderly wind down.
“Employment specialists from KPMG’s restructuring practice will be ensuring the employees are supported in claiming their unpaid wages and notice pay from the government’s Redundancy Payments Office.”
KPMG were appointed administrators to Tyneside-based Collectables Retail Limited and the related business Xystos Wholesale Limited at the end of last week.
The firm has 11 stores across the North East, Yorkshire and Cumbria, and also trades as a furniture retailer from three units at Collectables Retail Park, Stockton.
The administrators closed the stores temporarily while they conducted a review of the state of the business. Twenty-five employees were made redundant from the head office in Blaydon.
Any parties wishing to express an interest in the business and/or assets of the company should contact James Lumb on 0191 401 3939 / email@example.com.