Australian-born footwear brand Wittner is the latest fashion business to fall into voluntary administration.
Deloitte Turnaround & Restructuring partners Sal Algeri and David Orr have been appointed as administrators.
In a statement, the brand highlighted a surge in cost pressures which led to its decision to appoint administrators.
“Wittner is a heritage brand with a rich history of over 100 years in the Australian footwear market,” the company shared in a statement. “Over the last twelve months we have achieved strong growth in online sales, and significant sales growth from the expansion of sites across the Myer network.
“However, the growth in sales has been eroded by cost pressures from rising wages and occupancy costs, and more recently challenging trading conditions and supply-chain disruptions.
“We have invested in our range and teams over the last twelve months and remain committed to the Wittner business. We will work closely with the administrators to achieve the best outcome for the business and its stakeholders.”
The brand turns 113 this year.
Joint administrator Algeri said trading will continue as normal as they work towards a sale and/or recapitalisation of the Wittner business.
“We understand the appointment of administrators will be particularly concerning to Wittner’s employees, as well the very loyal customer base it has built over decades.” Algeri said.
“Please be assured that trade will continue on a business-as-usual basis as we conduct an urgent review of the group’s finances and seek expressions of interest (EOI)s from parties interested in the sale or recapitalisation of this iconic Australian brand.”
Wittner was founded in 1912 as Australia’s first mail-order footwear business. Today, the brand is a multi-channel retailer with over 20 branded stores in Australia and New Zealand, over 25 concession stores across David Jones and Myer, and a multi-store e-commerce platform that trades across its own branded website, Myer, David Jones, and The Iconic.
The footwear brand reportedly has a broad customer base, including more than 300,000 Wittner Co. Rewards members and more than 400,000 social media followers.