Kika/Leiner bankruptcy: 1,350 employees lose their job!

Kika/Leiner bankruptcy: 1,350 employees lose their job!

The Austrian furniture chain Kika/Leiner is in front of a disastrous: After the company withdrawn at the end of November, bankruptcy must now be registered. According to the information from today.at, the credit protection association of 1870 (KSV) confirmed that the previously managed renovation efforts failed. The corporate management could not win the necessary investor to finance the renovation plan, which had provided a repayment of 20% of the liabilities within two years. This means that all 17 branches of Kika/Leiner are closed and 1,350 employees will lose their jobs.

bankruptcy proceedings initiated

Insolvency administrative manager Volker Leitner said that the sale of the existing inventory is now underway. The KSV pointed out that the number of creditors and the extent of the liabilities will increase by the failure of the renovation plan; The liabilities are already around 139 million euros. The conversion of the bankruptcy proceedings is carried out by the St. Pölten Regional Court, which means that the renovation plan day statute is dismissed, as can be read at Kleinezeitung.at.

Leitner also indicates that there are a large number of damaged customers who cannot fall back on their payments due to the bankruptcy. It was found that many of these customers experience a critical situation and that insolvency law does not give them any exceptions. Despite the impression that was apparently expressed towards the employees still working in the company, the insolvency administrator asks for understanding that the employees themselves suffer from the current situation.