New Look, which operates a store in The Maltings in St Albans, has announced 60 stores will be closed to avoid going into administration.
The clothing company is the latest high-profile business to announce it is cutting costs, after Jamie’s Italian announced it was closing its restaurant in the city.
However, New Look in St Albans is not on the proposed list of closures.
The company is today instigating a Company Voluntary Arrangement (CVA) where it tries to negotiate a deal to pay creditors over a fixed period while it continues trading.
Executive chairman of New Look Alistair McGeorge said: “Given our challenged trading performance and over-rented UK store estate, we are having to take tough but necessary actions to reduce our fixed cost base and restore long-term profitability.
“We have held constructive discussions with our key landlords and strategic partners and will now seek creditor approval on our CVA proposal. A priority for us is to keep all potentially affected colleagues informed during this difficult time.”
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