Landlords Back Paperchase Resulting In Only 11 Store Closures 

With the three month ‘transfer window’ of Paperchase’s CVA now complete, (when landlords had the opportunity to serve a termination of the leases on the shops), it looks like only 11 stores are to be closed. When the CVA was first mooted it was anticipated that between 35-50 stores would close.

This means, that on top of the initial five stores that closed at the outset of the CVA, that Paperchase will be losing 16 stores in total, resulting in the design-led multiple continuing to trade from around 130 stores in the UK.

Above: Timothy Melgund (centre) at The Retas with Ling’s David Byk and PG’s Jakki Brown.
Above: Timothy Melgund (centre) at The Retas with Ling’s David Byk and PG’s Jakki Brown.

Explaining Timothy Melgund, deputy chairman of Paperchase told PG Buzz: “With this initial three month period concluded successfully, the CVA is now in place for three years. I am thankful that so many landlords have taken a practical and understanding view meaning that there are far fewer closures than many anticipated. I am sad about all the closures, for the teams that worked in those shops and the customers who shopped there, but it could have been worse if landlords had not taken a pragmatic view.”

With the CVA only having been possible due to the unanimous support from suppliers, including many UK card publishers, Timothy said “We can’t thank our suppliers enough for bearing with us, and I happy that throughout this transitional period that we have been able to pay to terms and will continue to do so.”

Above: Paperchase is seeing increases in like-for-like card sales from its railway station stores.  
Above: Paperchase is seeing increases in like-for-like card sales from its railway station stores.

Timothy is full of praise for the creativity in greeting card publishing and confirmed that its card sales are holding up well.

“We sell £50 million worth of cards every year. Our greeting card sales remain resilient and in some of our stores, notably those in railway stations, we are seeing significant increases in like-for-like sales,” he revealed to PG Buzz, attributing much of cards’ ongoing success to the creativity within the sector.

Above: Paperchase’s Natalie Alexander, senior card buyer for Paperchase (right) with Type and Story’s Niccy Iseman at PG LIve.
Above: Paperchase’s Natalie Alexander, senior card buyer for Paperchase (right) with Type and Story’s Niccy Iseman at PG LIve.

“Going round PG Live I was so impressed with how publishers are continuing to up their game – the quality and diversity of illustration especially was so impressive. Yes, we are living in anxious times, and we all could do with getting Brexit sorted, but card sales are holding strong and long may that continue.”

Top: Paperchase’s Glasgow store.

MORE NEWS
Jerry PO Feature Image
 
Indie Jerry Brown sets sights on network transformation project that slashed postmasters’ incomes...
BRC budget Feature Image
 
Government told of staff cuts, store closures and price rises following the budget...
Louise post boxes Feature Image
 
Two For Joy’s Louise turns passion into new designs including cypher details...
xmas views 3 Feature Image
 
Heidi Early’s optimistic as Earlybird catches the festive worm...
Jellycat store Feature Image
 
Cult soft toy company launches inside Birmingham Selfridges...
Greats open Feature Image
 
All gift retailers invited to take part, as GOTY’s 30 November deadline approaches...
Get the latest news sent to your inbox
Subscribe to our daily newsletter

The list doesn't exist! Make sure you have imported the list on the 'Manage List Forms' page.