A statement from Jessops' administrators Price Waterhouse Cooper describes the reasons for the chain's financial troubles:
– price waterhouse cooper
Its core marketplace has seen a significant decline in 2012 and forecasts for 2013 indicate that this decline would continue.
In addition, the position deteriorated in the run up to Christmas as a result of reducing confidence in UK retail.
Despite additional funding being made available to the company by the funders, this has meant that Jessops has not generated the profits it had planned with a consequent impact on its funding needs.
This was exacerbated by a credit squeeze in the supplier base.