PAS Group is another retailer that has filed for voluntary administration, due to COVID-19 restrictions and lockdown.
The Group houses retailers including Review, Yarra Trail, Black Pepper, Designworks and JETS Swimwear.
David McEvoy, Martin Ford and Stephen Longley from PwC been appointed as voluntary administrators. They will review the preliminary assessment of the Group, including how COVID-9 and subsequent lockdowns have impacted operations.
“The Australian retail sector was already facing significant challenges prior to the COVID-19 pandemic,” said Eric Morris, the Chief Executive of PAS Group.
“While the Board is of the view that the company is solvent, given the issues as a result of unfavourable financial market conditions for retailers, the COVID-19 crisis, and the challenges of restructuring in that environment, it felt that administration was the best way to affect change while protecting all stakeholders.”
The Group will remain transparent with its employees throughout the process, the Group said.
“Against the backdrop of many retailers closing their doors, we have taken proactive action to put PAS Group in the best possible position to navigate through the pandemic and subsequent economic challenges,” Morris explained.
“We know this is a challenging time for our employees, and their wellbeing will continue to be at the front of our minds throughout the voluntary administration process.”
The Group intends to restructure its operations to continue a robust future. PAS Group will continue to trade as normal across Australia and New Zealand while remaining in-line with current restrictions.
“The objective of the board and management is for the Group to emerge from this process in a strong and sustainable position that will carry us into the future. We look forward to working with the Administrators to achieve this objective,” said Morris.
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