'Not fair play': franchisees uninvited to Pie Face meeting, Madeleine Heffernan

Jirsch Sutherland has estimated it will earn between $425,000 and $550,000 from Pie Face's collapse. This depends on variables including "issues with franchisees".

The Sydney Morning Herald
December 3, 2014

'Not fair play': franchisees uninvited to Pie Face meeting
Madeleine Heffernan

Pie%20Face%203.jpg

Administrators have told Pie Face franchisees they are not invited to its creditors meeting. Photo: Louise Kennerley

The administrators of Pie Face have done their darnedest to make this morning's creditors' meeting as empty as the company's coffers.

In a move one industry veteran described as "not fair play", corporate undertakers Jirsch Sutherland have taken the unusual step of telling franchisees they are not invited.

Franchisees were told with less than 24 hours' notice and just one week after being told they were "naturally invited" to attend.

The media is rarely welcome inside creditors' meetings, but Jirsch Sutherland on Tuesday went as far as refusing to disclose the meeting's time and location.

But like a smiley face on a Pie Face pie, there's always a bright side.

Jirsch Sutherland has estimated it will earn between $425,000 and $550,000 from Pie Face's collapse.

This depends on variables including "issues with franchisees".

The company has also told franchisees that it has "absolutely no intention" of closing more stores.

"We have every intention of growing our brand in Australia by focussing on and improving the businesses of our franchisees," it said in an email.

"With less company owned stores, tighter controls and cost reductions from the factory, improved levels of staff and service I have no doubt that we can grow our brand profitably into the future."

http://www.smh.com.au/business/retail/not-fair-play-franchisees-uninvited-to-pie-face-meeting-20141203-11z1c5.html


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