the safeguard plan validated by the Bordeaux commercial court

The 26 stores bought by Michel Ohayon are affected. They employ around 1,000 people. “A mixed relief”, according to the CFDT which fears a defection of the brands.

The Bordeaux commercial court validated on Thursday March 21 the safeguard plan for the 26 Galeries Lafayette stores belonging to Bordeaux businessman Michel Ohayon, reports France Bleu Gironde.

The stores were purchased from the Galeries Lafayette group between 2018 and 2021, by Hermione Retails. Proposed by Michel Ohayon himself, the agreement provides that the Lafayette group, the main creditor of Hermione Retails, waives 70% of the debts accumulated by the entrepreneur since the repurchase of the 26 stores in 2018, or around 50 million euros. The businessman undertakes to pay the remaining 30% within ten years, to modernize the stores and integrate new brands to improve turnover, indicates France Culture.

The 26 stores concerned employ around 1,000 employees in Agen, Amiens, Angoulême, Bayonne, Beauvais, Belfort, Besançon, Caen, Cannes, Chalon-sur-Saône, Chambéry, Dax, La Roche-sur-Yon, La Rochelle, Saintes, Libourne, Lorient, Montauban, Niort, Rouen, Tarbes and Toulon, as well as Tours, Pau, Rosny-sous-Bois and Coquelles near Calais.

Employees still worried

At the beginning of March, the Paris prosecutor’s office opened an investigation into organized gang fraud against Michel Ohayon. Justice is questioning the practices of the business leader when he was at the helm of Gap, Go Sport and Camaïeu, brands which have since been liquidated.

Contacted by France Bleu Gironde, Muriel Scansi, CFDT central delegate, is concerned about the future of Galeries Lafayette brands in the provinces: “It is the subject of an investigation, what will the brands do? Are they going to stay in our stores? The green light from the commercial court is a mixed relief because we keep our jobs but we will always be worried about the sustainability of our business.”