Hardy Amies calls in the administrators

Published on Saturday 11 October 2008 00:34

HARDY Amies, the firm which created the Queen's wardrobe for more than 30 years, has filed for administration after funding talks failed.

The firm, founded in 1946 by the late Sir Hardy Amies, is appointing Kroll as administrators after its funding remained "unclear" despite last-ditch rescue talks.

In a statement, the company, which designed suits for England's winning 1966 World Cup football team and also dressed the likes of the Beatles and the Rolling Stones, said: "Until very recently the board was hopeful that funding would be received.

"The position remains unclear and therefore it is with regret that the directors have taken the decision that the company should file for administration today."

The Savile Row tailor, which has around 50 staff and which has one of its six standalone shops on Edinburgh's George Street, suspended its shares two weeks ago after major shareholder Arev Brands was unable to meet a request for further funds.

Arev, which owns a 49.3 per cent stake in the firm, had until recently provided substantial finance to the group, including 1.5 million in loans since April.

Hardy Amies, which was granted a royal warrant in 1955, has been suffering losses for several years and warned in June that poor womenswear sales would see losses accelerate in the first half of this year and would continue into 2009.

It reported underlying losses of 1.1m in 2007, although, boosted by a 35 per cent surge in sales, this was an improvement on the 1.8m seen the year before.

War hero Amies , who died in 2003, founded the firm initially as a men's shop at 14 Savile Row, central London, which is still the group's flagship store.

The group's six UK outlets include a brand new store at Bristol's new Cabot Circus shopping centre.

It is also stocked in dozens of stores nationwide, including Harvey Nichols.

North of the Border, the brand also sells its clothing in the Cruise store in Glasgow.

Peter Saville, a partner at administrator Kroll, said the stores will continue to trade while attempts are made to find buyers for all or parts of the business.

A sale has also started to reduce volumes of current season stock.

Saville added: "Sadly, fall-out from the credit crunch has meant this celebrated British business has struggled to survive."