British Home Stores to close in Coventry?

[rebbonk]

UK lawmaker appoints Philip Green's former foes to help in BHS probe

http://uk.reuters.com/article/uk-britain-retail-bhs-idUKKCN0XX15S

[dutchman]

In a development which is expected to add further to the controversy surrounding the collapse of BHS, sources said that a smaller pension scheme for senior BHS staff had been left more adequately funded than the retailer's principal scheme.

That's true for most companies, the bosses' pension fund is completely separate from the workers' and 100% protected. That's why when a company goes broke the bosses will be sunning themselves on a yacht in the Bahamas.

[dutchman]

BHS Pension Liability Estimated At £275m

The chief executive of the Pension Protection Fund (PPF) has told MPs investigating the collapse of BHS it is facing an estimated £275m liability from the retailer's £571m pension black hole.

Alan Rubenstein told the House of Commons business and work and pensions committees that the fund could cover the sum without increasing the annual levy paid by solvent pension schemes to fund his organisation.

He made his comments as MPs questioned why the pension deficit was not flagged as a problem when concerns were raised in 2012 - a time when it stood at £200m.

The committees heard that a recovery plan for the BHS pension scheme had been put forward that aimed to correct the deficit within 12 to 23 years but it had still not been signed off by March 2015 - the time the Pensions Regulator learned of the retailer's sale "through the newspapers".

Pensions Regulator chief executive Lesley Titcomb told MPs it launched an immediate anti-avoidance investigation, which would include a probe into "whether any of the parties connected to this had walked away from their responsibilities".

On MP, Richard Fuller, told her: "You took 17 months to receive a plan. That plan had a 23-year recovery period, which sounds like it is twice the average, and your response was to 'Open a recovery plan case'.

"The fund had a £200m deficit and growing, but you did not think it required 'proactive response.

"And when you go after someone who has a fund which doesn't have enough money in it, your first question is 'How much can you afford?' You are not much of a regulator, are you?"

Ms Titcomb responded: "I don't agree with that statement. We have to, as a regulator, operate within the framework provided to us."

Mr Rubenstein told the committees they should think about setting clear limits for recovery plans - admitting the 23-year period was "exceptionally" long.

[dutchman]

Pensions watchdog learned of BHS sale from media reports



The head of the Pensions Regulator learned about the sale of BHS for £1 last year through the media, MPs heard.

Lesley Titcomb said: "We were not, as I'm aware, advised in advance. We learnt about the sale from the newspapers."

She was giving evidence to MPs about the collapse last month of BHS, whose pension fund had a £571m deficit.

The pensions watchdog was first in discussions with BHS in 2009 about its pension fund deficit.

As soon as the sale of BHS by Sir Philip Green to a consortium called Retail Acquisitions was announced, Ms Titcomb said the Regulator opened an anti-avoidance case to determine whether the previous owners should be pursued to make up the fund's shortfall.

Richard Fuller, one of the MPs attending the joint hearing of the Work and Pensions and Business select committees, said the pensions watchdog did "not sound like much of a regulator".

And that's probably also how most of BHS' employees learned they no longer had a job!

[dutchman]

BHS gets 'multiple offers for some or all' of the chain

BHS' administrators have received "multiple offers" to buy some or all of the business, the BBC understands.

The offers will now be put to secured creditors for consideration, but the level of interest will raise hopes that some of the 164 shops and almost 11,000 jobs currently at risk can be saved.

Potential buyers had until 5pm Tuesday to submit a firm offer for BHS.

The High Street chain collapsed into administration two weeks ago with debts of £1.3bn.

"It's understood that there have been multiple firm offers for some or potentially all of the business," said BBC business correspondent Emma Simpson.

Those reported to be interested in buying all of BHS include Sports Direct, Edinburgh Woollen Mill and Preston-based millionaire property owner Yousuf Bhailok.

Firms including Swedish furniture chain Ikea and discount chain B&M are reported to be interested in buying parts of the group.

The stores, currently in the hands of administrator Duff & Phelps, will continue to trade as the sales process continues.

[dutchman]

BHS rescue bid fails with loss of 11,000 jobs

BHS department stores are to disappear from British high streets after almost 90 years, with 11,000 workers losing their job.

In the biggest failure in the retail industry since the demise of Woolworths in 2008, the administrators to BHS will wind down the business and close its 163 shops after a rescue deal fell apart.

Staff at BHS’s head office in London were being made redundant on Thursday, while the company’s remaining 163 shops will close over the next few weeks as they run out of stock. The BHS brand will disappear unless another business buys the name.

Duff & Phelps, the administrator, said a rescue deal for BHS could not be agreed because of the significant amount of cash needed to rebuild the business, despite “multiple offers” being received for the chain, The administrators had been locked in talks about a rescue deal for the last two weeks with a Portuguese-backed consortium led by Greg Tufnell, the brother of former England cricketer Phil, and a former managing director of Mothercare and Burton. It is understood the consortium were told they needed to show they had £100m to rebuild BHS, but could not provide proof of their funds.

The collapse of BHS, which was founded in 1928 in Brixton, south London, is likely to lead to the loss of 8,000 staff jobs, as well as a further 3,000 contractors who worked in the stores. These contractors include staff working in BHS cafes for Compass, the catering group, and Arcadia staff working in Dorothy Perkins and Wallis concessions within BHS. The administrator will now look to sell off BHS’s assets, including individual stores and the brand name. It has brought in Hilco, the restructuring firm and owner of HMV, to help wind down BHS.

[dutchman]

BHS stores in Coventry and Warwickshire to continue trading "for weeks"



BHS stores in Coventry and Warwickshire could continue trading for weeks despite the firm going into liquidation.

Staff at the department store’s branches in Coventry, Nuneaton, Stratford and Solihull said it was still business as usual for the foreseeable future.

On Thursday, BHS’s administrator Duff & Phelps announced the business would be wound down and that all 163 shops across the UK would close after it failed to find a buyer.

Around 11,000 jobs are at risk.

However staff at the Coventry branch said they would be open “until further notice”, at Solihull it was “business as usual” and at Nuneaton they said they would be open for a “few more weeks”.

Since the business went into administration five weeks ago, shoppers have been bagging closing down bargains, with some items up to 30 per cent off.

Maureen Smith, who is a regular shopper at Coventry’s BHS, said: “It is a real shame that the store is closing, I often use the café there and I get all of my clothes from the store.

“With the loss of the co-op and now losing BHS I think Coventry is really going to need something else to come in quickly as people are going to be missing out.

“There is not a lot of places that I can go shopping other than BHS so I am really sad to see it go.”

Despite most shoppers being disappointed with the news some felt that it would hit the older generation harder.

Lyn Connolly, another regular store shopper from Coventry, said: “Well, I won’t be able to get my slippers from there anymore!

“I am really sad that we are losing BHS, it is an iconic British high street brand and it is not something you want to see disappear.

“I think though, it will only affect the older generation as youngsters normally get their clothes from other high street shops rather than BHS.

“A lot of older people shop there and I think they will be affected the most by this news.

“We have got to make sure that we find someone else quickly to fill the gap.”

They would say that wouldn't they?

[rebbonk]

Seems like they had a 'stock' problem as well as other things if they can still trade. Yet again, bad management practices ruin so many lives!

[dutchman]

Lyn Connolly, another regular store shopper from Coventry, said: “Well, I won’t be able to get my slippers from there anymore!

Oddly enough those were the last thing I ever bought from BHS, they feel apart after a few days. Never shopped there again.

[rebbonk]

You just gotta laugh...

http://uk.reuters.com/article/uk-britai ... KKCN0YX004