Dolcis calls in administrators

THE downturn in consumer spending claimed another high street victim with shoe chain Dolcis going into administration.

Dolcis operates from 185 locations across the UK, including its own branded stores and from concessions.

It has five shops in Yorkshire and a further eight concessions in this region – located mainly in Bay Trading, Envy and Co-op stores.

Joint administrators Brian Green, Allan Graham and Howard Smith from KPMG's Restructuring practice are reviewing the business and will seek to continue to trade from as many of the shops as possible.

Mr Green said: “Dolcis is a well recognised, long established High Street brand so we are hopeful of finding a buyer for it.

“Dolcis is to some extent a victim of the tough trading conditions in which the retail sector is currently operating.”

Earlier this month KPMG and the British Retail Consortium reported that footwear sales fell for the third consecutive month in December, with the mass market hit hardest, as even large discounts failed to tempt sufficient customers.

“While most businesses wait and see whether the recent dent to consumer confidence has a longer term impact on the wider economy, the retail sector and its suppliers operate at the sharp end; feeling the impact of tighter consumer spending with more immediacy and arguably acting as an indicator of trouble ahead for other sectors.

“There are, however, a significant number of positive factors about this business to make it an attractive acquisition and any interested parties should contact us for information.”

The company was bought by Alexon, the London listed retailer behind the Ann Harvey fashion stores, in 1998. In November 2006, John Kinnaird, who had worked at Sports Division with Sir Tom Hunter, bought Dolcis for £2.7m with backing from pivate equity house Epic.

However Epic pulled out in December selling its stake to Dolcis management after considering appointing administrators.