Shoe chain Aldo collapses into administration over coronavirus with five stores permanently closed
SHOE retailer Aldo has collapsed into administration in the latest coronavirus tragedy to hit the UK high street.
Its Canadian parent firm Aldo Group today confirmed it has drafted in administrators at insolvency specialists RSM.
Aldo Group said it was "necessary" to place the UK arm of its business into administration due to the impact of coronavirus.
The move has resulted in the permanent closure of five Aldo stores.
Administrators will now explore options for the remaining eight of the retailer's stores.
Aldo has stores in Manchester, Watford, Croydon, Thurrock, Kent and eight in London.
Businesses in turmoil in 2019 and 2020
ALDO is the latest in a long list of businesses to be facing trouble.
In 2019 and so far in 2020 we've seen:
- Jamie Oliver's "Jamie's Italian"chain go bust, alongside his Fifteen and Barbecoa restaurants
- Links of London go into administration putting 350 jobs at risk
- Marks and Spencer close 35 more stores as it pushes forward with plans to axe 145 shops across the UK
- Dozens of Monsoon and Accessorize stores close
- Struggling shoe shop Office has said it "could close shops" as part of restructuring plans
- Fears Pizza Express could be next to go into administration as it "brings in emergency advisers"
- Hairdressing chain Supercutswent into administration in October 2019 putting 1,200 jobs and 220 salons at risk
- Maternity and baby retailer Mothercare collapsed into administration in November 2019 after 58 years on the high street, putting 2,500 jobs at risk
- Department store chain Bealeswent into administration in January 2020 with 23 shops and 1,052 jobs at risk
- High end fashion brand Ted Baker said it plans to axe 160 jobs in February 2020
- Mobile phone retailer Carphone Warehousesaid in March 2020 that it'll close all 531 standalone stores in April
- Vintage furnishing and fashion firm Cath Kidston said it was closing all 60 high street stores in March 2020
- Fashion store Animal said in April 2020 it was closing all 21 of its UK stores
- Department store chain Debenhams fell into administration for the second time in April 2020
- P&O Ferries said in May 2020 that it was looking at making 1,100 workers redundant
- TUI warned in May 2020 that 8,000 jobs could be cut due to the ongoing coronavirus crisis
- British Airways said in May 2020 that it still plans on pressing ahead with 12,000 job cuts
Customers in the UK can continue to purchase Aldo footwear from its online platform, as they have done throughout the coronavirus crisis.
Its products can also be found at Selfridges, House of Fraser and Debenhams when their stores reopen.
The failure of Aldo follows the collapses of Debenhams, Cath Kidston, Laura Ashley, Oasis and Warehouse since the virus forced UK retailers to shut their doors.
The news comes after the footwear retailer filed for creditor protection in Canada, the US and Switzerland and administration in Ireland.
In an announcement last month, Aldo said the move would allow it to "restructure and build on its legacy in retail fashion in other jurisdictions".
David Bensadoun, chief executive officer of the Aldo Group, said: "It is a difficult decision to close our stores in the UK market, but it is unavoidable given the current business environment and the impact of the Covid-19 pandemic.
"We thank our associates, customers and vendors in the UK for being a part of our story since 2002."
The Sun has asked Aldo Group for the location of the five stores that have permanently shut and we'll update this story when we know more.
We're also checking how many staff will be affected by today's announcement.
Aldo Group operates stores in more than 100 countries, including Canada, the US, Saudi Arabia and Singapore.
Its first UK store opened in 2002.