Bag shop closes with 135 jobs lost

ALL 34 stores in The Bag Shop chain have ceased trading with the loss of 135 jobs after the company went into liquidation.

Derek Earl, a corporate recovery partner with Grant Thornton in Dublin, was appointed as liquidator to Formview, the holding company behind The Bag Shop chain.

All of the company’s 35 outlets stopped trading a month ago but when Mr Earl was appointed as the provisional liquidator he reopened seven of the stores, including outlets in Galway, Dublin, Carlow, Athlone and Limerick.

However, all of the stores ceased trading last Sunday and a full hearing on the appointment of Mr Earl as the official liquidator was held Monday.

At its peak, The Bag Shop had more than 40 outlets, but a number of stores were closed in recent months as the company sought to rein in costs.

Established in 1989, The Bag Shop sold suitcases, handbags and backpacks, as well as accessories such as purses and wallets. The company is owned by Kevin and Vera Duffy, who both have an address in Clontarf in north Dublin.

According to its most recent accounts, Formview had sales of €7.9 million in 2006 and made a pre-tax profit of €237,000 for the year.