Debenhams will never reopen up to 22 of its 142 stores with thousands of jobs cut
UP to 22 Debenhams stores will never reopen after the coronavirus crisis with thousands of staff set to lose their jobs.
Debenhams currently has 142 stores in total, employing around 20,000 people.
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Of these, 17 stores will permanently close for good while the future of five more shops is still uncertain, insiders say.
Debenhams has already announced where the 17 stores set to close are located, we've listed them below.
But it's not yet confirmed where the five shops at risk are located.
Hundreds of roles will also be axed in Debenhams' head office.
The department store chain was struggling going into the pandemic and it is understood the crisis has accelerated closure plans.
It comes as the retailer plans to reopen 90 stores in England from June 15, with 30 more stores expected to reopen shortly after - leaving the future of 22 shops in the balance.
Which Debenhams stores are set to close?
BELOW are 17 of the Debenhams shops set to permanently close.
- Borehamwood
- Clapham
- Croydon
- Kidderminster
- Kings Lynn
- Leamington-Spa
- Leicester
- Merthyr Tydfil
- Reading
- Rugby
- Salisbury
- South Shields
- Southampton
- Stratford
- Swindon
- Truro
- Westfield
Reopened stores will have shorter opening hours and reduced services, triggering further job losses. Cafes, for example, will stay shut.
Debenhams says it'll confirm the exact number of job losses once it has gone through the full reopening process.
The outlets that will reopen have managed to negotiate their leases with landlords who have agreed to reduced rents or rent holidays.
Debenhams was put into administration for the second time in 12 months in April.
It also announced at the time that its Irish business would close for good.
A Debenhams spokesperson said: "Debenhams’ preparations to reopen the vast majority of its stores from 15 June are well under way following the successful conclusion of lease negotiations on 120 stores.
"In the context of a retail industry undergoing profound change, the management team is working on the future shape of the group, with a view to seeking an exit from administration as a going concern.
"With a leaner and more flexible operating model, Debenhams will have the ability to adapt to what are likely to be fundamental shifts in the future trading environment.";
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In April 2019, Debenhams fell into the control of lenders, a group of banks and hedge funds led by US firm Silver Point Capital.
This saw 50 stores shut permanently, as well as rents reduced across dozens of other branches.
It's buy out also wiped out the value of investments of shareholders, including Sports Direct billionaire Mike Ashley.