Ethel Austin goes into administration

A CLOTHING retailer with a branch in Letchworth has gone into administration for the second time in two years.

Ethel AustinEthel Austin, which has a shop in Eastcheap, will continue trading as normal while a new buyer is sought by administrators.

Administrators Menzies Corporate Restructuring (MCR) said that it could not deny possible closures or redundancies as there were “no guarantees” that a buyer could be found in the current climate.

Ethel Austin’s sister firm homeware retailer Au Naturale has also gone into administration.

The company which employs about 2,800 staff at 300 stores across the UK first went into administration in 2008, but was bought within a month by the former head of retailer MK One.

Administrator, Geoff Bouchier of MCR said: “The global econimc crisis has hit the retail sector hard, this company has struggled to secure funders which in turn has impacted its ability to generate sales revenue.”

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