Crazy Clark’s Merimbula is to close July 20, with the loss of six casual and two full time jobs, after the holding company, DSG Holdings Australia, owned by Kathmandu founder Jan Cameron, was placed into receivership on Monday, June 30.
There had been a fleeting hope that the store would escape the axe but on Friday morning, July 11, a list was sent to the News Weekly of 29 (27 Crazy Clark’s and two Sam’s Warehouse) stores that will close July 20. More than 300 employees will be affected and the list included the Merimbula store.
A previous list of stores to be closed included Sam’s Warehouse, Narooma which will close with the loss of three casual and four full time jobs on Sunday, July 13.
The store is one of about 40 Crazy Clark’s and Sam’s Warehouse stores that will close in an effort to restructure the business and sell it off.
A spokesman for the receivers, KordaMentha Restructuring, said: “There are 143 stores around the country and about 100 of them are trading profitably. We’re analysing all of them.”
The spokesman said: “We have advertised for expressions of interest and we hope to sell as many (stores) as possible. We’re aiming to pay off staff by the end of September, depending on sales. Our job is to raise as much money as possible.”
He added: “All stores will have massive sales over the next nine days to clear stock. Local communities are urged to go out and get a bargain and help us raise money to pay the staff entitlements.”
On Thursday, some of the store’s shelves were empty and a notice invited anyone interested to talk to the manager about fixtures and fittings.
The spokesman said that there had been between 40 and 50 expressions of interest in anything from one store, a handful of stores to many stores.
“No one wants to buy the business lock, stock and barrel, though,” he said.
This is the second time that the store has faced the axe. In October 2012, Ms Cameron’s former company, Retail Adventures Pty Ltd, collapsed after racking up losses of $114 million in two years. Ms Cameron used her position as the largest and only secured creditor to buy back the business three months later.
At the time the Go-Lo store in Merimbula survived the axe that fell on 32 stores, including the Bega store, and changed its name from Go-Lo to Crazy Clark’s.
The receivers plan to close about 40 of the remaining 143 Sam’s Warehouse and Crazy Clarks stores, all of which are leased, and are looking for trade buyers for the balance. Expressions of interest for the stores close July 17.
The latest round of closures
- Goulburn (Auburn St)
- Coffs Harbour (Park Ave)
- Lakes Entrance
Queensland (all Crazy Clark’s)
- Cairns Central
- Gympie (Mart St)
- Bundaberg (Bourbong St)
- Toowoomba (Bridge St)
- Bribie Island
- Beenleigh (Coles Mall)
- Goondiwindi (Herbert St)
- Busselton (Sam’s Warehouse)
- Greenacres (Fosters Rd) (Sam’s Warehouse)