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| Allied Carpets to lose 850 jobs | Allied Carpets to lose 850 jobs |
| (about 2 hours later) | |
| Allied Carpets is to make 850 people redundant after going into administration and closing 142 stores. | Allied Carpets is to make 850 people redundant after going into administration and closing 142 stores. |
| Administrator BDO Stoy Hayward said it had not been able to sell the 142 outlets because of retailers' "struggle" in this economic climate. | |
| The company went into administration after the housing slowdown saw demand for carpets and flooring to drop. | The company went into administration after the housing slowdown saw demand for carpets and flooring to drop. |
| In July, the firm sold 51 of its 217 stores and its insurance inspection business, which saved 400 jobs. | In July, the firm sold 51 of its 217 stores and its insurance inspection business, which saved 400 jobs. |
| But this represents less than a third of the original 1,500-strong workforce employed by Allied Carpets. | But this represents less than a third of the original 1,500-strong workforce employed by Allied Carpets. |
| Stores closing include those in East Kilbride, Falkirk, Dundee, Great Yarmouth, Brighton, Oxford and Swansea. | |
| The chain had 217 stores when it went into administration, a headquarters in Kent and a distribution centre in Lancashire. | The chain had 217 stores when it went into administration, a headquarters in Kent and a distribution centre in Lancashire. |
| "Although we have had a strong level of initial interest in the portfolio, the common concern has been around the lack of visibility of future turnover," said Dermot Power, business restructuring partner at BDO. | "Although we have had a strong level of initial interest in the portfolio, the common concern has been around the lack of visibility of future turnover," said Dermot Power, business restructuring partner at BDO. |
| "In addition, many of those who operate in the same industry haven't been comfortable taking the step to extend their current portfolio in such a tough trading climate." | "In addition, many of those who operate in the same industry haven't been comfortable taking the step to extend their current portfolio in such a tough trading climate." |