The iconic fashion chain River Island is on the brink of collapse as it could run out of money by August.
The fashion chain will close 33 stores and January and a further 71, The Telegraph reported.
River Island will be in the High Court next week to submit their terms as they are looking to write off debts to stay afloat.
PwC are advising the company and have drawn up restructuring plans and have warned that River Island will not be able to “continue trading” which will “subject to administration or other insolvency proceedings” if the High Court rejects the plans.
A spokesperson said: “River Island circulated its proposals for a Restructuring Plan to creditors on June 20th. In combination with the company’s ongoing Transformation Strategy, the Plan is a proactive measure to place the company on a firm footing.
We have been having positive conversations with key stakeholders and are confident that we will achieve approval of the Plan in the next few weeks.”
Ben Lewis, chief executive officer, said in a statement last month, “River Island is a much-loved retailer, with a decades-long history on the British high street.
However, the well-documented migration of shoppers from the high street to online has left the business with a large portfolio of stores that is no longer aligned to our customers’ needs.
The sharp rise in the cost of doing business over the last few years has only added to the financial burden.
