Companies That You Expect to Disappear Soon

[londonbridge]

Did anyone see the possibility of Coughlans Bakery collapsing??

I know one of the staff in my local TG Jones so I asked her yesterday were they likely to be one of the branches closing, she said they’ll find out later this week. Given the size of the branch however it wouldn’t surprise me if mine does go. Guess they’ll have to find somewhere to move the post office to as that is inside the branch.

As to banking my local Halifax closed years ago and I hadn’t been inside a bank branch for ages, over a year at least, however I wanted to visit a cashpoint recently to get some money to send my niece for her birthday (leaving aside the merits and debate about sending cash inside birthday cards through the post)….anyway I spotted on a local Facebook group that someone had found a Lebanese loop/skimmer type device on one of the cash machines in the high street, turned out much of the high street had been targeted and machines tampered with. Could easily have been caught out if I hadn’t seen the warning so I used a machine inside a bank branch.

 

[simonw]

Personally I wouldn't use a bank for probate services, the average person can deal with it without help if there is no property involved and if there is property a solicitor is a better bet.

I found it very useful to still have our town's branch when my parents died and I was dealing with the estate and probate, with all the forms etc. would have both hated and worried if vital documents had to be sent through the post.

I know banking hubs are being set up in a lot of paces where several branches have closed, but I doubt they would be able to handle probate, power of attorney etc?

 

[Tetchytyke]

Unlikely unless there was a clause to that effect in the sale and purchase contract.

The buyers knew exactly what their game plan was going to be post purchase and it is now following pretty much in line with that game plan.

I imagine the sellers also knew what the gameplan was. WH Smith have managed to offload the unprofitable parts of their business and managed to generate a small amount of money for it. I don't think they will be particularly bothered about the rest of it, they've saved themselves a fortune in redundancy payments if nothing else.

Why does the company need a loan from its own parent?

Because that's the standard business model for these sorts of companies. They load the company up with secured debt from related partners and then the company goes into administration. Everyone else gets to take a haircut, the NI Fund gets to pay the redundancies, and the related partners get the debt-free business they always wanted.

 

[SuspectUsual]

they've saved themselves a fortune in redundancy payments if nothing else.

That'll depend on the terms - sometimes a sale includes the seller underwriting a proportion of redundancy costs for a period after the sale

 

[Uncle Buck]

As to banking my local Halifax closed years ago and I hadn’t been inside a bank branch for ages, over a year at least, however I wanted to visit a cashpoint recently to get some money to send my niece for her birthday (leaving aside the merits and debate about sending cash inside birthday cards through the post)….anyway I spotted on a local Facebook group that someone had found a Lebanese loop/skimmer type device on one of the cash machines in the high street, turned out much of the high street had been targeted and machines tampered with. Could easily have been caught out if I hadn’t seen the warning so I used a machine inside a bank branch.

I limit my exposure to this by having a separate account whose sole purpose is for cash withdrawals. I carry the debit card with the contactless disabled- meaning it can’t be used for card purchases by a thief- and when withdrawing cash I try to use ATMs inside banks and supermarkets as like you say these are less likely to have been tampered with. I just top this account up with money from my main account at the start of every month. All my card transactions are on a credit card, usually via Apple Pay, because that’s the bank’s money, not mine (you can also earn cashback). Perhaps slightly paranoid, but why take a chance?

Did anyone see the possibility of Coughlans Bakery collapsing??

A lot of these older bakeries have closed down since Greggs grew in popularity. How I miss Auld’s and Bradford’s in Glasgow- two wonderful companies!

 

[Tetchytyke]

That'll depend on the terms - sometimes a sale includes the seller underwriting a proportion of redundancy costs for a period after the sale

True, but I suspect that this will be why there was a sale clause preventing the new owners from closing the shops on day one.

 

[SuspectUsual]

True, but I suspect that this will be why there was a sale clause preventing the new owners from closing the shops on day one.

I think the one year no closure clause was more about reputation management - ie the stores would have been rebranded for several months before they closed.

And its perverse to think that the buyers would be daft enough to have a no closure clause longer than the redundancy protection clause - would they really be that stupid?

 

[jon81uk]

What do you mean negotiated? They legally weren't allowed to keep the name.

Why?

They could have negotiated a licensing deal to keep the name, but the ongoing fee to use it may have been too onerous anyway.

This whole thing is quite similar to Virgin Megastores almost twenty years ago, where the parent company didn't think it was a viable business any longer, got rid of it, they were rebranded and still not a profitable business. Maybe in that case licensing the Virgin brand could have helped them limp on too, similarly to Nationwide currently having permission to use the Virgin Money brand for another two years.

 

[sprunt]

A lot of these older bakeries have closed down since Greggs grew in popularity. How I miss Auld’s and Bradford’s in Glasgow- two wonderful companies!

I don't think competition from Greggs will be the reason for any old style bakeries closing down today. Since Greggs stopped doing bread and focussed more on being a fast food outlet, they're not really in competition with the bakeries.

 

[35B]

Personally I wouldn't use a bank for probate services, the average person can deal with it without help if there is no property involved and if there is property a solicitor is a better bet.

That doesn't mean that there isn't a lot to deal with the banks on, where dealing in person can save a LOT of time compared to dealing with HQ services

Signed,

An Executor

 

[Dai Corner]

That'll depend on the terms - sometimes a sale includes the seller underwriting a proportion of redundancy costs for a period after the sale

That happened to me. My part of the business was outsourced and a couple of years later I was made redundant on the same (generous ) terms as would have applied had I still been with my previous employer. The cheque was in the name of the original employer too.

 

[simonw]

That doesn't mean that there isn't a lot to deal with the banks on, where dealing in person can save a LOT of time compared to dealing with HQ services

Signed,

An Executor

Having dealt with an estate all by email, involving 10 or more financial institutions my experience would say otherwise. YMMV.

But we move well away from companies that will disappear soon.

 

[styles]

Did anyone see the possibility of Coughlans Bakery collapsing??

To be honest, despite spending years living in London, I'd never even heard of it.

It seems to be co owned by comedian Romesh Ranganathan. I've no issue with this but I'm always a little sceptical about comedians and actors/actresses going into other businesses. I like the guy but as far as I can tell he has zero experience in baking, catering, or even retail really. Is it wise to then go and co owned a bakery chain? I don't know, but you can bet that you'll struggle against the experience Greggs has. Their bakery chain also focussed a lot on plant based products, and I feel that's coming down from its peak.

I'm no great Greggs fan, but we have to be honest and say most people buy a loaf of Warbutons or Hovis, not a £3.50 sourdough.

 

[Mcr Warrior]

To be honest, despite spending years living in London, I'd never even heard of it.

Coughlans Bakery had 31 branches. All, I think, to the South side of London, such as Croydon + Horsham. None in Central London.

 

[styles]

Coughlans Bakery had 31 branches. All, I think, to the South side of London, such as Croydon + Horsham. None in Central London.

That would do it. Like a cabbie, didn't often go south of the river.

 

[Ken X]

Coughlans Bakery had 31 branches. All, I think, to the South side of London, such as Croydon + Horsham. None in Central London.

They had two branches in Horsham barely a mile apart, close to a Gail's, an artisan bakery and other traditional bakers. Too much supply for the demand here.

 

[dorsetdesiro]

Not looking good for Easyjet, being asset stripped by unscrupluous American corporate giants.

I really hope this wouldn't reduce choice of budget airlines, if Wizzair etc get into trouble in the future, that we may go back to the old days of being forced to use overpriced legacy flag airlines - Aer Lingus to Dublin, KLM to Amsterdam anyone?

 

[STINT47]

Not looking good for Easyjet, being asset stripped by unscrupluous American corporate giants.

I really hope this wouldn't reduce choice of budget airlines, if Wizzair etc get into trouble in the future, that we may go back to the old days of being forced to use overpriced legacy flag airlines - Aer Lingus to Dublin, KLM to Amsterdam anyon

I cannot see Ryanair going anywhere and of Easyjet did go someone else would probably pick up their routes and customers given time.

 

[dgl]

Ryanair is now debt free so it would assume their business is sustainable, even more so if one of their competitors goes bust.

 

[styles]

I cannot see Ryanair going anywhere and of Easyjet did go someone else would probably pick up their routes and customers given time.

Agreed. If anything, I can see budget airlines succeeding as they expand access to travel to the masses, the premium airlines doing well for the business and fairly well-off passengers, but mid-budget airlines struggling.

 

[Broucek]

I know it's the healthy remaining part of the Empire but I was horrified at the cost of chocolate in WH Smiths yes. Longish drive, late evening so I paid up as the extra energy was necessary but I wonder if this model is sustainable.. I'm on a decent salary with no kids and was really taken aback!

 

[styles]

I know it's the healthy remaining part of the Empire but I was horrified at the cost of chocolate in WH Smiths yes. Longish drive, late evening so I paid up as the extra energy was necessary but I wonder if this model is sustainable.. I'm on a more than decent salary and was really taken aback!

Was it WH Smith or TG Jones?

 

[Russel]

I know it's the healthy remaining part of the Empire but I was horrified at the cost of chocolate in WH Smiths yes. Longish drive, late evening so I paid up as the extra energy was necessary but I wonder if this model is sustainable.. I'm on a more than decent salary and was really taken aback!

My local TJ Jones was trying to offer dairy milk at a special offer price at the checkouts the last time I was there, yet it was still priced well above the likes of B&M and Poundland located within the same shopping park.

 

[Broucek]

Was it WH Smith or TG Jones?

WHS. Should have said it was a service station.

 

[styles]

WHS. Should have said it was a service station.

Sounds about right then!

I stopped at WH Smith at motorway services three times in the past 36 hours as I had about 600 miles of driving. I was mainly picking up drinks given how hot it was down here, and probably set us back about the same as a weekly shop would in the end.

Poor planning on my part as I really should've stocked up from a supermarket before starting the trip!

 

[Broucek]

Sounds about right then!

I stopped at WH Smith at motorway services three times in the past 36 hours as I had about 600 miles of driving. I was mainly picking up drinks given how hot it was down here, and probably set us back about the same as a weekly shop would in the end.

Poor planning on my part as I really should've stocked up from a supermarket before starting the trip!

For me it was 300 miles in one day. And, yes, better organisation would be helpful (and if cornered, perhaps buy in M&S where they seem less rapacious in their pricing.)

But "rip off distressed purchasers" is a business model I've never much liked...

 

[Kite159]

Just look at the prices they charge at stations, 2 bottles of 500ml pop for a mere £5. Even the promotional drinks they do for a £1 (or £1.50 in some London stations) are normally left out in the open at room temperature rather than taking up space within a chiller (and on a hot day I can't think of anything less appealing than a bottle of room temperature sprite mint.

 

[GusB]

I find it somewhat amusing that both WH Smith and its high street successor, TG Jones, have received regular coverage in this thread, yet several years on we have seen the demise of neither! WHS is first mentioned in post #2 back in 2018.

My local store, originally a branch of John Menzies, closed before it had a chance to be re-branded to TG Jones, but that's because the company that ran the shopping centre went bust; had that company not gone into administration, I suspect TG Jones would be soldiering on.

 

[Statto]

Just look at the prices they charge at stations, 2 bottles of 500ml pop for a mere £5. Even the promotional drinks they do for a £1 (or £1.50 in some London stations) are normally left out in the open at room temperature rather than taking up space within a chiller (and on a hot day I can't think of anything less appealing than a bottle of room temperature sprite mint.

If i'm planning a day out i always try & stock up on soft drinks/water the day(s) before, as i have a couple of shops in my area that sells 1.25, or 2 litres soft drink/water for under £1.50, can't remember the last time i bought anything from WH Smiths nevermind it's successor TG Jones.

 

[Dai Corner]

If i'm planning a day out i always try & stock up on soft drinks/water the day(s) before, as i have a couple of shops in my area that sells 1.25, or 2 litres soft drink/water for under £1.50, can't remember the last time i bought anything from WH Smiths nevermind it's successor TG Jones.

Many motorway junctions have a supermarket within a few minutes drive where you can buy your drinks, chilled if you want, at normal prices.

I've never been in a TG Jones and don't think I've bought anything from WH Smith since newspapers and magazines became available online (often for free - check your public library's website).