updated 02:58 pm EST, Fri January 11, 2013
Administration causes loss of over 1,300 jobs
Jessops, the largest photography chain store in the United Kingdom, has closed down all of its 187 stores, two days after entering administration. More than 1,370 jobs will be lost due to the closures, with more expected to be lost at the company's head office in the future. Administrator PriceWaterhouseCoopers is currently managing the firm's closure.
There are no prospects of a fire-sale, as remaining camera stocks will be sent to a central warehouse before being returned to manufacturers. The BBC reports that the company suffered in talks with lenders and suppliers after poor holiday sales, likely from better prices being offered by online retailers and the decline in compact camera sales following improvements in smartphone cameras. Jessops narrowly avoided administration in 2009 by agreeing to a debt-for-equity swap with financial institution HSBC.
Technology-related retailers in the UK have been finding economic conditions difficult in recent months. Electrical retailer Comet shut its doors in mid-December, closing its 236 stores, while Jersey retailer Play.com is going to stop its direct retail business in favor of offering sales from other retailers as an online marketplace, because of changes in tax law.