Esprit Switzerland is insolvent

Esprit Switzerland Retail AG (ESRA), a wholly-owned subsidiary of Hong Kong-listed Esprit Holdings Ltd, has reportedly filed for bankruptcy in a Swiss court to reorganize its business. The store closures were “unavoidable” and the bankruptcy was the result of a combination of soaring energy and logistics costs, high rents and negative consumer sentiment. The focus is now on strengthening the online business and working more closely with wholesale and franchise partners.

In a further statement, the company announced the resignation of executive Director and member of the general committee, Paul Josef Schlangmann, with immediate effect, who wants to “spend more time with his family and pursue other business interests.”