Next popular fashion house with branches in the Ruhr area before the end - but there is hope

Retailers have been hit hard by the corona virus crisis. With Tom Tailor, the next fashion chain is on the brink. 

• The corona virus crisis has also hit retailers hard.
  
• Now the next popular fashion chain is out.
  
• But there is hope for some of the company's branches.
  

Dortmund / NRW - During the lockdown around the corona virus, the retail trade in particular was hard hit. The first after-effects are evident, although the shops are allowed to open again . Things are also bad for Tom Tailor Holding, as RUHR24.de * reports.

Fashion house Tom Tailor applies for protective shield proceedings - fear of subsidiaries

Because the fashion brands of this company have also got into financial difficulties due to the corona virus and are in danger of falling into arrears. There is hope for the Tom Tailor chain itself, but for a subsidiary it looks grimmer.

As Chip reports, Tom Tailor Holding has received a guarantee of 100 million euros from the federal government , the states of Hamburg and NRW .

Tom Tailor receives a guarantee from the federal and state governments of North Rhine-Westphalia for the corona virus

This guaranteed financing would run until the end of September 2024. The banks had also agreed in principle to extend all credit lines to Tom Tailor Holding with a total volume of EUR 355 million by then.

There is also financial support from other sides: A majority shareholder of the company, the Chinese Fosun International Limited, wants to extend a loan of 28.5 million euros for Tom Tailor Holding until the end of 2024, it is said.

Because of the corona virus, Tom Tailor has to get a guarantee from the federal government. The situation is even worse for the subsidiary Bonita.

© Christian Charisius / dpa

Concern for subsidiaries: Tom Tailor applies for protective shield proceedings against corona virus

But is the company economically back in calmer waters after the corona virus crisis ? Not quite, because it is still a critical issue for a subsidiary of Tom Tailor .

Because the popular Bonita GmbH, which also belongs to the holding company, has not been promised versatile support and, in particular, a guarantee from the federal government. Due to the impending insolvency , according to the company, a self-administered protective shield procedure should be applied for for the subsidiary in Hamminkeln (NRW) with around 2,400 employees.

Tom Tailor is threatened with the end: what about the branches in the Ruhr area?

A bankruptcy of Tom Tailor was because of obligations to Bonita nevertheless inevitable. "The company's board of directors has therefore decided today to apply to the competent district court of Hamburg for the opening of insolvency proceedings," said the company (more service articles on RUHR24.de *)

But what about these developments in the branches in the Ruhr area ? Despite the current developments, no stores are officially threatened. Nevertheless, both Tom Tailor and Bonita are increasingly withdrawing from the Ruhr area. After a larger Tom Tailor branch on the Westenhellweg in Dortmund has been closed for some time, the Bonita branch in the city of Unna has recently closed .

Check out this post on Instagram

Coming soon: MASK-HAVE #TTogether

A post shared by TOM TAILOR (@tomtailor_official) on May 6, 2020 at 9:07 am PDT

Coronavirus: In addition to Tom Tailor, other businesses are threatened

The coronavirus crisis affects retailers in particular, but not just Tom Tailor Holding. The Spanish fashion company Zara was also hard hit by the temporary forced closure due to the pandemic. The location of Zara in Dortmund may even be endangered here *.

A cut in VAT, which is limited to six months, should meanwhile stimulate the economy again * and thus also support retailers . However, not all companies pass on this discount to their customers.

* RUHR24.de is part of the nationwide Ippen-Digital editors network.

List of rubric lists: © Bernd Thissen / dpa