Suppliers and landlords of collapsed department store chain BHS may only receive 3p in the pound, the administrator’s report shows.
Administrator Duff & Phelps said secured creditors – which include Sir Philip Green’s Arcadia – are owed £35m and are likely to be repaid in full, The Guardian has reported.
However, unsecured creditors, which include trade suppliers and landlords, could get just 3p in the pound, although the final amount would depend on the money raised from the sale of company assets.
BHS collapsed owing more than £1.1bn, including a £571m pension deficit, £358m to landlords and £48.5m to suppliers.
Green will face MPs’ questions at the work and pensions select committee next week.
As reported by Drapers several BHS suppliers are already feeling the effects of its failure and have been forced to make redundancies.