HMV rids itself of a further 484 employees and 37 stores

Troubled music and DVD retailer HMV will axe a further 484 employees and close an extra 37 stores, administrators Deloitte announced Wednesday.

Troubled music and DVD retailer HMV will axe a further 484 employees and close an extra 37 stores, administrators Deloitte announced Wednesday.

The closures come on top of the 66 stores already set to be shut and bring the total number of redundancies close to 1,500 - almost half the workforce.

All four Heathrow airport sites will go along with a fourth Glasgow store. The flagship Oxford Street store will remain intact for now.

Nick Edwards, a joint administrator, said: "As part of our ongoing review of HMV's financial position, we have undertaken a further review of the store portfolio and have identified an additional 37 stores for closure. This step has been taken in order to enhance the prospects of the restructured business continuing as a going concern.

"Together with the previously identified 66 closures, this restructuring will result in a residual portfolio of some 116 stores.

"We are extremely grateful to the staff for their continued strong support and commitment during an understandably difficult period. All other key stakeholders including suppliers and landlords remain supportive and we appreciate their ongoing assistance."

The company went into administration in January after fierce competition from online retailers brought sales down and debts up.

HMV is continuing talks with specialist investor Hilco, which acquired the secured debts from Royal Bank of Scotland and Lloyds Banking Group, assuming effective control of the collapsed firm.

Hilco purchased HMV Canada in 2011 and has built ties with several distributors.

RD

Recommended

Broker safety – your questions answered
Investment strategy

Broker safety – your questions answered

Cris Sholto Heaton answers more of your questions about the safety of stockbroker accounts
25 Mar 2020
How demographics affects stock valuations
Investment strategy

How demographics affects stock valuations

New research suggests that stock and bond valuations are driven by the age of the population – at least in the US.
24 Feb 2020
Do you own shares in Sirius Minerals? Here’s what you need to do now
Stocks and shares

Do you own shares in Sirius Minerals? Here’s what you need to do now

Mining giant Anglo American has proposed a cash takeover of Yorkshire-based minnow Sirius Minerals. Unhappy shareholders must decide whether to accept…
20 Feb 2020

Most Popular

Prepare for the end of the epic bubble in US stocks
US stockmarkets

Prepare for the end of the epic bubble in US stocks

US stocks are as expensive as they’ve ever been. How can you prepare your portfolio for a bubble bursting?
18 Jan 2021
Why we won’t see a house-price crash in 2021
House prices

Why we won’t see a house-price crash in 2021

Lockdown sent house prices berserk as cooped up home-workers fled for bigger properties in the country. And while they won’t rise quite as much this y…
18 Jan 2021
It's not just the UK – we're seeing pandemic housing booms across the globe
Property

It's not just the UK – we're seeing pandemic housing booms across the globe

Soaring house prices aren’t just a UK thing, they’re a worldwide phenomenon. And it’s no coincidence – the underlying cause is much the same. John Ste…
18 Jan 2021