CDU goes into administration

Another day, another fashion group goes into administration. UK company, CDU, has today announced in a statement to the Stock Exchange, that it has appointed John Whitfield and Philip Duffy, partners at MCA, joint administrative

receivers of the company. It’s sad news for the 60 year old business, which was originally known as Slimma. The name change to CDU came last month after it sold the Slimma and Splendour brands to N Brown Group for $1.3m.

CDU was left operating fashion brands, such as Michael Amber and Frank Usher. The company has bases in both London and Staffordshire and employs roughly 44 staff. It focuses on the design, wholesale and sourcing of premium occasion wear and bridal attire, footwear and accessories.

Slimma posted pre-tax losses of £350,000 for the 26 weeks to 2 April 2010.

This comes only days after young fashion brand, Henleys, announced the closing of 18 of their stores and the appointment of Ernst and Young as retail administrators. John Whitfield said, “Like many in the retail sector, CDU has experienced a difficult trading environment during the course of the past two years. This has been exacerbated by a further downturn in consumer spending.”

He added: “The company is trading as normal at present while all options are considered. There is already interest in the business and brands and we hope to be able to secure a going concern sale of the business and its assets in due course.”

Images: Frank Usher S/S