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Administrators to be called in at Clinton Cards

Card and gift retailers Clinton Cards are expecting to be placed into administration shortly, according to officials from the group.

It is thought that the process will be started by Clintons’ largest supplier, American Greetings, with trading of shares already suspended.

Business law solicitors have been advising the company throughout their troubles, but it has been revealed that both Barclays Bank and the Royal Bank of Scotland have now sold £35m worth of their loans to the American Greetings corporation.

Despite the loans being taken away from Clinton Cards, however, the business has said that it did not breach any repayment obligations. It was, however, responsible for certain ‘technical breaches’, for which temporary waivers had been issued.

This latest announcement follows the poor sales figures that were announced by Clintons in March; a six-month loss of £3.7m was reported up to January of this year, whilst forecasts for 2012 were also downgraded.

The contents of this article are intended for general information purposes only and shall not be deemed to be, or constitute legal advice. We cannot accept responsibility for any loss as a result of acts or omissions taken in respect of this article.