Restructuring underway

The end of seven jewelry stores already sealed

The restructuring proceedings for Alphagold Schmuck- und Uhrenvertriebs GmbH in Linz were opened precisely on Valentine's Day.(Bild: Harald Dostal)

The debts of the bankrupt jewelry and watch retailer Alphagold in Linz amounted to more than 7.9 million euros. Now the liquidator is cutting costs as part of the restructuring process: seven branches of the company behind the "Le Clou" and "Juwelier Reiter" brands have already been closed.

"We are where you are" can be read on the website www.leclou.at, where Austria's largest jewelry chain claims to have more than 30 stores. However, the figures are no longer up to date.

This is because the insolvency administrator Norbert Mooseder has started the restructuring process at Alphagold Schmuck- und Uhrenvertriebs GmbH from Linz, which is behind the brands "Le Clou" and "Juwelier Reiter", and has already initiated store closures.

Branch in Wels also affected
The two branches in Germany (Landshut and Munich) were ordered to close on February 20, followed a few days ago by five locations in Austria: in Vienna, Gerasdorf, Feldkirch, Kufstein and Welas-Park in Wels. The first meeting at the regional court in Linz will take place on 12 April: the first facts will be presented at the creditors' meeting and the restructuring plan will be voted on in mid-May.

Losses from the coronavirus era
The financial difficulties of Alphagold Schmuck- und Uhrenvertriebs GmbH have been official since February 14. When insolvency proceedings were opened, debts were estimated at 7.95 million euros. According to KSV 1870, losses from the coronavirus period and the fact that outstanding loans were called in by the company's bank were cited as the reasons for the insolvency.