Mystery is surrounding Sam's Warehouse in Dubbo with the store advertising it is closing down but the receivers who are looking after almost 150 stores across Australia say a decision on the future won't be made until today.
Subscribe now for unlimited access.
$0/
(min cost $0)
or signup to continue reading
The Macquarie Street business began putting up a number of posters in the store window and inside saying it was closing down yesterday after parent company Discount Superstores Group announced it was going into receivership.
The Dubbo store's manager was unable to comment on the situation but a spokesperson for receivers KordaMentha Restructuring said he was unaware of any closure.
"The stores are currently being analysed and a list of stores that are closing will be released soon," he said.
More than 2200 staff are employed in 144 Sam's Warehouse and Crazy Clark's outlets Australia-wide.
According to the spokesperson, the majority are profitable, but closure is only option for as many as 50 shops.
"The company went into receivership on Monday night because of substantial debt.
"Advertisements have been placed in the Financial Review calling for expressions of interest," the spokesperson said.
"There are approximately 100 stores that operate profitably but there are about 50 that aren't.
"Quite a few of those 50 will be closed but I don't think that will be released until tomorrow morning," he said yesterday.
The retail downturn is a major reason for the company's problems and the spokesperson said the owner, businesswoman Jan Cameron, had reached the maximum she was willing to put in to keep it afloat.
It is the second time in less than two years the group has had financial trouble.
In February last year receivers took control of the stores before Ms Cameron found the funds to repurchase the company.
The KordaMentha spokesperson said the best thing people could do would be to support the struggling chain.
"There are deep discounts to everything in the store and the best way communities can help is by going out and buying items," he said.
