On that logic, Homebase must be closing down as they're doing 10% off everything over the weekend.

 

really :mellow: that's news to me, I need a new toolbox

 

really :mellow: that's news to me, I need a new toolbox

 

:lol: be a Love Machine and run on down :P

 

http://www.homebase.co.uk/wcsstore/homebase/en_US/images/p8/10percent_day_banner.jpg

Zavvi loss is a "watershed"

 

09:12 | Monday January 5, 2009

 

By Robert Ashton

 

The industry is coming to terms with having just one major specialist music chain left on the high street as no concrete buyers have emerged for the collapsed Zavvi.

 

Ernst & Young is continuing to keep the retailer, which went into administration on Christmas Eve, trading and the administrators say they have received “quite healthy interest” from parties wanting to buy the whole business or parts of it.

 

Those offers will be assessed over the coming days and weeks, although an Ernst & Young spokeswoman will not reveal where the interest is coming from.

 

ERA director general Kim Bayley is hopeful at least one will turn into a firm offer. “ERA firmly believes that not only is there room in the market for at least two specialist chains, but that a diverse retail landscape is an essential platform for future entertainment industry growth. This gives hope that Zavvi will trade out of administration or a buyer will be found.”

 

Despite some encouraging figures from the high street over Christmas, some retail experts suggest specialist music retailing is looking less tenable in the digital age and are unsure there will be much appetite to take on Zavvi in the current climate.

 

This will put a question mark over the group’s 2,363 staff at the groups 125 stores. 69 staff were made redundant at the head office last week and stores in Liverpool and Southampton closed on December 30 and 31 respectively with Aberdeen due to shut on January 13. But the spokeswoman says these were planned prior to the administration and the remainder will continue to trade. “It is too early to say how long (trading will continue). It depends on ongoing trading results,” she adds.

 

The effect of another retail loss is also beginning to sink in. Beggars Group chairman Martin Mills suggests the loss of Zavvi and Woolworths mark a “watershed for music retail”.

 

Following Zavvi’s administration and the collapse of Woolworths, which closes its 800-plus stores today (January 5), HMV is now the only surviving specialist music chain left on the high street. But it is unlikely to want many Zavvi sites. A HMV spokesman says, "HMV stores overlap in around two-thirds of their locations, so if there are opportunities for us to take a small number of suitable in-fill locations then we may consider these with the administrator."

 

Ernst & Young blame the Zavvi administration on EUK’s failure. EUK was Zavvi’s main supplier and since November 27 the retailer has been unable to adequately source stock and had been forced to enter new trading arrangements. Joint administrator Tom Jack says, “The group has continued to experience significant difficulty in obtaining stock on favourable credit terms.”

 

The Zavvi administration also impacts on Virgin Group, which backed the supply agreement between EUK and Virgin Megastores (and later Zavvi) and has the leases to six or seven stores, which it might eventually sublet.

 

A Virgin spokesman says in a deal cut between EUK administrators Deloitte and Ernst & Young, Deloitte wants £40m from Zavvi. £20m has been paid and now the retailer has to convert its remaining stock into another £20m, but if it comes up short Virgin will make up the remainder – in a “worst case scenario” probably around £2-3m.

I also hope the sales are going to be the same for Ireland so I can raid my usual Zavvi store.

 

:mellow: :rolleyes: :lol: :o

in the Reading store pretty much everything has a 'clearout' price which is relativly cheap and then on top of that everything had 10% off marked price.

Ernst & Young blame the Zavvi administration on EUK’s failure. EUK was Zavvi’s main supplier and since November 27 the retailer has been unable to adequately source stock and had been forced to enter new trading arrangements. Joint administrator Tom Jack says, “The group has continued to experience significant difficulty in obtaining stock on favourable credit terms.”

 

From another point of view it should be EUK blaming Zavvi tbh seeing as they owed EUK £100 million +

As much as I like Zavvi their sale stuff sometimes isnt exactly sale, its what play.com has at a usual price. I would love to see play.com take on the high street and open some stores as its cheaper and has better stock. I hate when I am in Zavvi and I pick up a DVD to buy then notice there is 3 different prices for it. They had Cloverfield 2 disc edition at either 3.99 4.99 or 5.99. :D

As much as I like Zavvi their sale stuff sometimes isnt exactly sale, its what play.com has at a usual price. I would love to see play.com take on the high street and open some stores as its cheaper and has better stock. I hate when I am in Zavvi and I pick up a DVD to buy then notice there is 3 different prices for it. They had Cloverfield 2 disc edition at either 3.99 4.99 or 5.99. :D

 

There prices would differ from their online prices too though, as they would have all the overheads of rent, electricity, staff and so on.

their online site no longer takes orders

stopped about the start of December, along with in store ordering

I also hope the sales are going to be the same for Ireland so I can raid my usual Zavvi store.

 

:mellow: :rolleyes: :lol: :o

 

:mellow: Jog on! :blink: