The group’s administrators,? ?Ernst? & ?Young,? ?have confirmed that? ?466? ?jobs will be lost as all remaining outlets are set to close by Feb? ?20.
Zavvi? – ?once the UK's largest independent retailer of games,? ?music and film goods? – ?fell into administration on Christmas Eve last year.? ?The retailer’s demise was largely a knock-on effect from the? ?fall of Woolworths and its wholesale distributor EUK.?
?Ever since EUK fell into administration late in November? (?before? ?officially closing in mid-December?)?,? ?Zavvi has experienced difficulties in securing stock.? ?Simon Douglas,? ?founder of the retailer,? ?said at the time:? “?We have done all that is possible to keep the business trading,? ?but the problems encountered with EUK,? ?and particularly its recent failure,? ?have been too much for the business to cope with.?”
A string of heavy closures followed,? ?with? ?22? ?stores shutting down in early January,? ?followed by another? ?18? (?including London’s Piccadilly flagship?) ?closing a week later. ?The shop numbers have trickled down since,? ?and the final set of stores to be closed include Zavvi’s shop on London's Oxford Street,? ?which has? ?140? ?full-time employees.
At full strength the retail outlet had? ?114? ?stores in the UK and? ?11? ?in the Irish Republic,? ?and employed? ?2,300? ?full-time staff.
A number of stores have been sold off, with HMV picking up some fourteen of the group’s locations.? ?Of the recent wave of closures,? ?HMV has picked up another five outlets,? ?brining its total to nineteen and saving? ?111? ?jobs in the process.
Five stores have been sold to Head Entertainment,? ?the new enterprise from Zavvi’s former owner Simon Douglas,? ?though the new retail group expects to buy up three more by the end of the week.? ?In total? ?249? ?jobs will likely be saved from Head’s purchasing.
Zavvi had formed in? ?2007? ?following its buyout of Virgin Megastores.?
"I would like to thank all of Zavvi's staff and customers for their commitment and continued support for the business throughout the administration,?" ?said Tom Jack,? ?joint administrator.?
"Whilst it has not been possible to secure a sale of the business as a going concern,? ?we are delighted to have been able to secure continued employment for? ?629? ?Zavvi employees?"?.?