HMV to go in to administration
HMV will be going in to administration after suppliers refused a request for a £300m bail out. Bad news for UK high streets.
They are to appoint Deloitte as administrator, putting around 4,350 jobs in jeopardy. If Deloitte cannot find a buyer, store closures could commence imminently.
The brand have revealed a a half-year pre-tax loss of £37.3m in December. On the 10th of January, they announced a month-long sale with 25% knocked off of most prices. The BBC report that a spokesman for HMV commented of the big sale news: “It’s what retailers do at this time of year, and any other interpretation is just the usual media speculation”.
Ed’s opinion: Over the past few years, digital sales in the music, film and game sector has risen dramatically. With the proliferation of online retailers, consumers are able to get their entertainment either instantly or at very competitive prices – this unfortunately seemed an inevitable situation.
When was the last time you stepped into an entertainment/record store and bought anything? Do you prefer to shop online? Where do you get your music from? Was this inevitable? Let us know below!
