Jackie Skelly clubs hit by €10m losses before takeover

LOSSES at the Jackie Skelly Fitness clubs had totalled just over €10 million at the time it was taken over last year.

In May 2010 a judge approved a takeover plan in the High Court of the fitness company by British firm, Energie Fitness.

However, the plan was approved on condition Jackie Skelly would leave the company. Ms Skelly had built up the fitness empire over 17 years.

The company’s problems arose from a fall in turnover from €19.8m in 2008 to €4.4m in 2009 and the gym chain had been under the examinership of Kieran Wallace since February 2010.

Under the scheme €2.3m was invested in the company and the new company carried out an extensive review of the business. The company closed the club in Greystones in August 2010.

In November 2010 the nine Jackie Skelly Fitness clubs were rebranded as Energie Fitness.

According to accounts just filed for Map Dance Limited for the 18 months to May 24, 2010, examinership expenses totalled €263,150.

At the time of the takeover there were 198 people employed and employment costs had hit almost €7m.

Turnover in the 18 months ended May 24, 2010, was €19.5m. In the 12 months to November 30, 2008, turnover was €19.2m. Pre-tax profits in that period in 2008 were €3.3m.

The company said in the accounts that the risk of a further deterioration in economic conditions may have an adverse impact on served markets.

The directors said they manage competition through close attention to customer services levels. The company places a “significant emphasis on innovative customer service performed to the highest standards”.

The accounts show that Jackie Skelly and Mark Tooke resigned on May 24, 2010. Appointed on that day as directors were Paul Deignan, Gerry Clifford, Leon Atkins and Jan Franco Spaticchia. Directors remuneration in the 18 months to May 24, 2010, was €449,434, up from €438,006 in 2008. Directors pension was €41,988 (compared to €27,992).