Coffee Republic goes into administration

Richard Hill and David Crawshaw of KPMG Restructuring have been appointed joint administrators of Coffee Republic (UK) Ltd, Coffee Republic Franchising Ltd and Goodbean Ltd. Coffee Republic operates a total of 187 coffee bars in the UK and ten international locations. A further 97 concessions operate within cinemas, retail outlets and hotels throughout the UK. The group employs a total of 153 staff, 26 of whom are located in its head office in London and 127 employed within the 20 group-operated outlets. Administrators have said that store closures and job losses are "inevitable". Richard Hill, KPMG partner and joint administrator said: "The recession is hitting discretionary spending on the High Street and some of the less profitable bars with expensive leases have suffered. However, Coffee Republic has a strong brand and I expect considerable interest in the profitable parts of the business. "We will be doing whatever we can to find a buyer for the residual business as a going concern as quickly as possible, so interested parties will have to be prepared to move fast."