“After examining the company’s economic conditions, the company will be restructured via a restructuring process that will be registered next week,” said Kika/Leiner in a broadcast on Wednesday.
The package of measures to save the company will – as communicated – “implemented unchanged”, the company said. It will probably be an insolvency procedure without self-administration, said Kika/Leiner. On Tuesday, the new owner of the furniture chain’s operating business announced that it would close 23 of its 40 locations by the end of July and lay off 1,900 of its 3,900 employees. The central departments and administration are also to be “considerably” downsized.
“The terminations will be made in accordance with the legal framework (termination dates, periods). A significant proportion of the employees will be terminated at the end of July 2023,” said Kika/Leiner on Wednesday.
According to the company, “all down payments made and the vouchers purchased should be guaranteed” and can still be redeemed in all Kika/Leiner branches. The bonus points should also be retained and Kika/Leiner want to carry out all existing orders as agreed.
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