Much reporting today regarding independent music retailer Fopp after the company announced it was launching a 'strategic review' with its bankers, which involved an impromptu closing of the chain's fifty stores so that staff could undertake a stock check. That news followed correspondence between Fopp bosses and various book publishers telling them it would not be replenishing its book supplies for the near future. Needless to say, all that started quite a bit of worrying among Fopp fans, and their landlords and creditors. But the company's boss, and major shareholder, Gordon Montgomery, told reporters this weekend that, while the company is having some problems after experiencing falling sales, the company is not on the brink of collapse, and is not considering calling in the administrators. So there you go. As previously reported, Fopp took over the bulk of the stores belonging to its larger rival Music Zone when they collapsed earlier this year. Insiders say that takeover has had a big impact on the independent chain's cash flow, which has led to the current struggles.
Jun 25, 2007
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1 min read
Fopp expresses concern over finances, but boss remains optimistic
Independent music retailer Fopp closed its fifty stores for a stock check and launched a strategic review, but boss Gordon Montgomery says it is not on the brink of collapse.