Australian Geographic retail stores tipped to close

Australian Geographic retail stores tipped to close
Australian Geographic retail stores tipped to close

The loss-making Australian Geographic retail chain of 67 stores could disappear by March 2017.

The Myer Family Investments vehicle, owned by one of Australia's richest families, has owned the chain since 2007.

The Australian Financial Review said commercial property sources said individual store leases at some of the outlets were being offered to rival retailers as the Myer family tries to salvage some value from a retail business that had been generating annual sales of close to $50 million.

It is understood the retail chain has been quietly offered to potential buyers but that avenue has been largely unsuccessful, leading to plans for a wind-down of the business.

It follows the Australian Broadcasting Commission deciding 12 months ago that the national broadcaster would shut its 50 ABC Retail store network.
 
Records lodged with the Australian Securities and Investments Commission show that financial accounts lodged by Australian Geographic Retail for the 2014-15 financial year indicate the business reported a loss of $3.34 million, a worse result than the previous year when it reported a loss of $2.54 million. 

Australian Geographic's total revenue was $49.1 million in 2014-15, up from $44 million in the previous year.

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