THE high street retailer Claire's has confirmed it will file for administration, putting all of its Scottish stores at risk of closure.
The jewellery and accessories chain has said it wants to appoint administrators to secure the future of the brand.
The retailer has 281 stores in the UK, 25 of which are in Scotland.
In a press release, Claire's shared that at the moment, stores will continue to stay open and trade as normal, and no jobs will be lost.
Consultancy firm Interpath are expected to be drafted in over the coming days to oversee the administration.
In a statement, Chris Cramer, CEO of Claire's, said: "This decision, while difficult, is part of our broader effort to protect the long-term value of Claire's across all markets.
"In the UK, taking this step will allow us to continue to trade the business while we explore the best possible path forward.
"We are deeply grateful to our employees, partners and our customers during this challenging period."
This news follows the US parent company of Claire's filing for bankruptcy last week.
Reports shared that the business filed for Chapter 11 bankruptcy in a court in Delaware.
This was the second time the group had declared bankruptcy, after first filing for the process in 2018, after it was unable to repay a loan.
The group saw its finances improve after wiping around 1.9 billion dollars (£1.4 billion) off its balance sheet in a refinancing, but has come under pressure from recent weak consumer demand and supply chain uncertainty.
The new bankruptcy filings for the US side of the company showed that the business reported liabilities and assets of between 1 billion dollars and 10 billion dollars. It also showed that the company owed more than 25,000 creditors.
The group is owned by a group of firms, including investment giant Elliott Management, who were creditors when the retail firm first faced insolvency seven years ago.
The 25 Claire's stores at risk of closure in Scotland
- Aberdeen Union Street
- Aberdeen St Nicholas Centre
- Ayr
- Braehead
- Clydebank
- Dumfries
- Dundee Overgate
- East Kilbride
- Edinburgh Fort Kinnaird
- Edinburgh Gyle
- Edinburgh Princes Street
- Elgin
- Falkirk
- Glasgow Buchanan Galleries
- Glasgow Fort
- Glasgow Sauchiehall Street
- Glasgow Silverburn
- Glasgow St Enoch
- Glenrothes
- Inverness Resite
- Kirkcaldy
- Livingston Outlet
- Perth
- Sterling Mills Outlet
- Stirling
