Game Group has gone into Administrtion

Game Group goes into administration
Video game retailer, Game Group, has gone into administration
Read Freaking Computer News earlier blog post about Game Groups possible closure.
Administrators PricewaterhouseCoopers (PwC) said 2,104 employees would be made redundant this week, with the immediate closure of 277 stores in the UK and Ireland. The remaining 333 stores will stay open as the administrators search for a buyer for the business.
PwC said that the retailer had suffered from high fixed costs and an ambitious international expansion. Its business has been hit by competition from online-only retailers.
Mike Jervis one of the administrators said “Our priority is to continue trading the business as normal while we continue to pursue a sale, the recent job losses are regrettable, but will place the company in a stronger position while we explore opportunities to conclude a sale. My team and I will be doing all we can to help the affected employees at this difficult time.”
Game employs 385 staff at its headquarters in Basingstoke in Hampshire, and about 5,100 in its stores in the UK and Ireland. Abroad and around the world Game employs 5,000 staff.
Game Group said “This decision to enter administration is taken after careful consideration and ceaseless interrogation of every possible alternative.”
The stores operate under the Game brand, as well as Gamestation. The company asked for its shares to be suspended last Wednesday and announced it was planning to call in administrators. It followed confirmation that some suppliers had stopped doing business with the retailer.


