Struggling department store retailer Debenhams has agreed terms with landlords with around 120 of its 142 UK stores, but seven will shut.
Stefaan Vansteenkiste, chief executive, said the outcome of its talks with landlords “reflects the pragmatic view the vast majority of them are taking of the current market conditions”.
He added: “We have agreed terms on the vast majority of our UK stores and talks are proceeding positively on the remainder, positioning us to reopen these stores when government regulations permit.
“Regrettably we have been unable to reach agreement on seven stores and these will not be reopening. I’d like to express my thanks to our colleagues in these stores at what I know is a difficult time for everyone.”
The seven closures are:
- Truro
- Stratford-upon-Avon
- Salisbury
- Westfield London
- Warrington
- Leamington Spa
- South Shields
Debenhams formally appointed FRP Advisory as its administrators last week. It has also since begun the liquidation process for its operations in Ireland, Hong Kong and Bangladesh.
The retailer entered administration as part of an effort to protect itself from potential legal action from its creditors. It is the second time in a year that the department store chain has collapsed, after its lenders took over the business last April.
The retailer had shut 22 of its 166 stores by the end of January as part of its CVA process, which sought 50 closures altogether.
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