Flying Flowers - Beware!

jnrmofo_2

Flying Brands, the parent company of Flying Flowers the online flowers by post retailer have been struggling financially for many years.

They have today (15/11/2011) issued notice to the stockmarket that they may face insolvency proceedings if their banks do not agree to waive their November loan repayments.

They also acknowledge that without major new investment they will cease trading next June (2012).

Shoppers looking to send flowers this Christmas would be advised to avoid Flying Flowers at all costs as they may not be trading be Christmas and you stand to lose your money unless you have credit card protection.

In addition to that, the quality and service of Flying Flowers may not be up to standard given their poor cash flow.

The full statement to the stock exchange can be read at the Flying Brands website.

texranger

jnrmofo wrote: »

They have today (15/11/2011) issued notice to the stockmarket that they may face insolvency proceedings before Christmas if their banks do not agree to waive their loan repayments.

They also acknowledge that without major new investment they will cease trading next June (2012).

link please as you have contridicted yourself. its either before Christmas or June 2012 as their is NO such statement on their websites http://www.flyingbrands.com/ or http://www.flyingflowers.co.uk/

jnrmofo_2

It is on the Flying Brands .com website, in the latest news. The 'Posting of Circular to Shareholders' item was released at 07:00 on 15th November 2011.

Both dates I mentioned are in the release. Basically they state that if their banks do not agree to waive their loan repayments for November then they may face immediate insolvency proceedings.

At the end of the statement, they say that even if they can waive their loan repayments and sell off freehold property in Jersey, their cash flow is so bad they face insolvency next June (2012).

They will cease trading within the next 8 months without major help, which they acknowledge in unlikely to arrive.

Spartacus_Mills

texranger wrote: »

link please as you have contridicted yourself. its either before Christmas or June 2012 as their is NO such statement on their websites http://www.flyingbrands.com/ or http://www.flyingflowers.co.uk/

I think this is what the OP is referring to.

http://miranda.hemscott.com/servlet/HsPublic?context=ir.access&ir_option=RNS_NEWS&item=834140630956112&ir_client_id=2434

Further, if the Resolution is passed and the Disposals complete, the net proceeds of the Disposals may not be sufficient to meet the Group's working capital requirements for the next 12 months. After taking into account the receipt of the net proceeds of the Disposals and the proposed use of proceeds, the Directors are relying on trading to fund the business. After payment of the final amounts due under the Flowers Direct Transaction of £0.5 million on 3 January 2011 and £0.5 million on 31 January 2011, the Group could run out of working capital in June 2012 to the amount of £0.4 million. However, to the extent the Group is unable to secure further support by June 2012, the Group may no longer be able to trade as a going concern which may result in the commencement of insolvency proceedings against the Group, which could commence in June 2012.

jnrmofo_2

That's the one! I'm not able to post links as I'm a newbie...

texranger

they said similar in 2009 and then suddenly in 2010 they expanded and then now in jan 11 they expanded again.

ThumbRemote

texranger wrote: »

link please as you have contridicted yourself. its either before Christmas or June 2012 as their is NO such statement on their websites http://www.flyingbrands.com/ or http://www.flyingflowers.co.uk/

Given that you posted utter rubbish here, how about apologising to the OP rather than posting irrelevant information about what has happened in the past?

texranger

ThumbRemote wrote: »

Given that you posted utter rubbish here, how about apologising to the OP rather than posting irrelevant information about what has happened in the past?

why he never posted any link in the opening comments and mentioned 2 dates, so my post was just.

jnrmofo_2

Calm down all... As I said, I couldn't post a link as I'm a newbie. I've revised the first post to avoid any confusion.

I didn't contradict myself, as I tried to explain - the company state that if the bank do not waive their loan repayment this month (November) then they could face insolvency. But even if the bank does help them out, Flying Brands (parent company) openly admit they will face insolvency next June without major help.

The purpose of the post was raise the alarm as they are pushing for Christmas sales at the moment, buyers should consider shopping elsewhere with someone like Interflora or Bunches. If Flying Flowers
go bust, shoppers could lose their money if they haven't used a credit card.

Shoppers risk losing all their money if their card company only guarantee purchases over a certain amount.

bcl999

Sorry to hear this. I used them for years to send to elderly friends who are sadly now departed.

jnrmofo_2

They have been running at a loss for some time. They borrowed a lot of money to buy a rival, Flowers Direct, but sales have been poor and they cannot meet their debt obligations.

I suspect a few retailers will go under this Christmas if sales are poor. It's a tough time.