Australian clothing retailer Jeanswest has announced it will close more than 90 stores, resulting in hundreds of job losses, as the company succumbs to prolonged financial struggles.
Administrators confirmed the decision on Wednesday, attributing it to challenging retail conditions in Australia.
Jeanswest first entered administration in January 2020 but was later acquired by Hong Kong-based Harbour Guidance.
Despite efforts to revive the business over the past five years, administrators from Pitcher Partners stated that the company could no longer sustain its physical retail presence.
Jeanswest’s leadership acknowledged the difficult decision, noting a shift towards online retail. "The owners have done everything they can to keep Jeanswest going, but market conditions mean sustaining bricks-and-mortar stores is not viable and unlikely to improve," said Mr Bainbridge.
"They deeply regret the impact of store closures on their team members and their customers, and we will be working now with teams across the country."
He also addressed the effect on staff, adding, "This is a hard day for hundreds of Jeanswest team members and we will be working directly with the team members to provide clarity and information about the next steps."
As part of the transition, the company will begin liquidating stock across all locations. "We will be opening the doors of all stores and selling online to clear all stock to secure a return to creditors," Mr Bainbridge said.
