HMV files for insolvency after a weak Christmas
The 97-year-old company has entered insolvency procedures for the second time in six years, threatening 2,025 jobs
London — Music and entertainment retailer HMV Group has become the first UK Christmas casualty after disappointing sales over the holiday period. The 97-year-old company, owned by restructuring firm Hilco Capital, entered insolvency procedures for the second time in six years, threatening 2,025 jobs. It previously suffered a near-collapse in January 2013, as the move towards online streaming services hit sales. HMV’s 125 stores in the UK will stay open as the company negotiates with suppliers in the music and movie industries, according to a statement on Friday. KPMG has been appointed as an administrator and a buyer is being sought, HMV said. The shift away from CDs and DVDs to streaming services has only intensified since Hilco saved HMV six years ago, as Apple, Netflix and Spotify continue to dominate the battle for eyes and ears. “During the key Christmas trading period the market for DVD fell by over 30% compared to the previous year and, while HMV performed considerably better...
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