Australia’s premier upmarket department store David Jones has collapsed into voluntary administration, putting thousands of jobs at risk amid warnings “difficult decisions” lie ahead to salvage the 188-year-old retailer.
The upheaval follows years of steep losses and underperforming stores that left the heritage retailer falling behind on rent, culminating in a breakdown of negotiations with its primary landlord, Westfield owner Scentre Group.
Staff were informed on Thursday that the David Jones board had appointed administrators from McGrathNicol, before the retailer’s main financier promptly installed FTI Consulting as receivers.
Under the dual appointment, FTI will take day-to-day control of operations, while administrators…