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150 north jobs lost as Collectables rescue bid fails
150 redundancies have been made at a North-East furniture and gifts chain, that went into administration last week.
Collectables, which grew from a barrow in the MetroCentre, Gateshead, selling Geordie-themed novelties into an £18m enterprise, called in administrators KPMG following a cash crisis.
Staff had hoped that some of Collectables 14 stores, including its flagship branch in Stockton, could be saved. But in a statement today 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 re-opening 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."
The Northern Echo understands that former employees of the 27-year-old family-run firm are owed on average one month's salary.
Employment specialists from KPMG's restructuring practice are helping the affected staff in making claims for unpaid wages and notice pay from the government’s Redundancy Payments Office.
Collectables had branches in Alnwick; Carlisle; Dalton Park, near Seaham, County Durham; MetroCentre, Gateshead; Newcastle; North Shields, Castleford, West Yorkshire and Stockton, which included the Beds Express, Big Cane and Mandale Furniture showrooms.
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 firstname.lastname@example.org.
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