Finnish Retailer Stockmann Files for Corporate Restructuring

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Finnish department store owner Stockmann has decided to file for a corporate restructuring after the drop in customer volumes caused by the coronavirus outbreak, it said on Monday, sending shares in the company down 32%, Reuters reported. Stockmann said its main creditors had given a positive initial response to the move, which is a form of administration in which a court appointee is charged with restructuring the company to avoid bankruptcy. Known for its upmarket department stores, Stockmann has struggled in recent years in the face of a consumer shift to online shopping, prompting cost cuts and divestments. The retailer had invested heavily in department stores in Russia but never recovered from the rouble’s crash in 2014 and in 2018, Stockmann sold all its remaining operations in Russia. Read more