RT Edwards Closes Shop, Hundred Jobs Axed
Queensland-based consumer electronics and appliances retailer, RT Edwards, has joined the likes of 2nds World and Radio Rentals SA, with sources claiming administrators will be appointed tomorrow.
The closure of three retail groups in one week comes as a major warning sign for both manufacturers and distributors.
According to sources, the company has been struggling for quite some time – culminating in the closure of ~15 QLD stores, and around 100 jobs axed.
The retailer asserts the decision was a planned and carefully managed exit, and will ensure commitments to every employee are honoured.
According to the Courier Mail, all suppliers will be paid under ordinary terms of trade.
The company’s commercial arm, RT Edwards Commercial, is set to continue trading – known for financing retail contracts via several retailers.
The news comes months after Amazon and other mass retailers engaged in online discounting late last year, driving sales away from smaller retailers.
Heavy discounting and e-commerce pressure is said to have heavily hampered the cash flow lifeline for small retailers such as 2nds Worlds and Radio Rental SA.
Back in December, ChannelNews predicted that several CE retailers would face cash flow problems, struggling to sell stock that was purchased prior to August.
Radio Rentals SA is not associated with Radio Rentals stores owned and operated by the Thorn Group in states outside SA.