MORE JOBS at Chartbusters home entertainment stores will be saved than was originally anticipated even with the closure this week of seven more stores, the Commercial Court was told yesterday.
Mr Justice Peter Kelly heard the court-appointed examiner to the group now believes that 23 rather than 20 of the 36 stores in the group may be saved. Five stores have been closed and a further seven, involving 33 job losses, are to close this week. Some 150 people will remain in jobs, while a further 20 jobs are dependent on the group’s survival.
Examiner Neil Hughes had also negotiated rent reductions worth some €200,000 and hopes the group could make a profit of about €1 million this year once a survival scheme is in place, it was stated.
He added that profitable stores held outside the group were being brought into the group, including those at Swords and Navan, and this would boost survival prospects.
On the basis of the examiner’s report, the judge agreed to continue court protection for the group to April 16th next.
He also granted applications by the examiner to end court protection for two linked companies in the group – Marydene Properties Ltd, a property holding company, with liabilities of some €500,000 over assets, and Suntrap Tanning Ltd, which has a leasehold property at Talbot Street in Dublin and is said to be insolvent.
The judge was told there were three expressions of interest by investors in the Chartbusters group, but the investors’ interest did not extend to Marydene or Suntrap.
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