Jobs lost as 166-year-old discount chain collapses

 

BARGAINS at Dimmeys will be no more after the 166-year-old discount chain collapsed into liquidation just one month after its stores were shuttered due to COVID-19.

The bargain retail chain, founded in 1853 and thought to be Australia's oldest, was put into liquidation on Friday after its 25 stores and head office were closed on March 26.

Dimmeys' owner Cool Breeze Clothing Pty Ltd, had announced in November the discount chain would close, but it is understood the COVID-19 pandemic hastened the plans.

On March 26 Dimmeys directors announced they had made a "gut-wrenching" decision to temporarily close stores and head office.

"We would like to thank everyone for your support and hopefully we can reopen in the very near future depending on Government recommendations," a statement said.

On Friday the company appointed Hall Chadwick as liquidator.

Dimmeys has four stores in Queensland among 25 across Australia.

Dipper starred in Dimmeys' ads in the '80s.
Dipper starred in Dimmeys' ads in the '80s.

 

Queensland store locations included Childers, Gympie, Logan Central and Maryborough.

Its Bundaberg and Toowoomba stores were shuttered earlier this year.

Before the pandemic the company announced new managers had been found for its Victorian stores and they would be unaffected by the company closure.

It is thought more than a dozen jobs will be lost, and how much is owed to creditors from Cool Breeze Clothing is yet to be assessed by liquidators.

The company purchased Dimmeys and its 40 stores in 2014 after it fell into administration following a $3 million fine for breaking product safety laws.

Dimmeys was fined for selling items, such as bath toys, children's swimwear, cosmetics and basketball rings, without compliance warning labels or that were hazardous.

On purchasing the business Cool Breeze Clothing planned to expand and "create many new jobs for local communities".

Originally published as Jobs lost as 166-year-old discount chain collapses