Another traditional company took a hit after the bankruptcy of Vögele Shoes and sales and rumors about the shoe chain Reno. Aargau shoe manufacturer Fretz Men will close its doors forever on June 30, 2023.
Fretz Men don’t need to file for bankruptcy. However, the owner family around CEO Vinzenz Lauterburg (50) finds itself compelled to take this step after years in red, as the “Aargauer Zeitung” writes. Almost 120 years later, it’s gone.
Retail bankruptcies affect Fretz Men
Things have long been rough with the traditional company: Owners faced the difficult decision of investing millions more in the loss-making company or eventually pulling the string. “Maybe we can save the company if we invest larger sums of money for three or four years. But that would be a big risk. And we’ve already lost double-digit millions over the last decade.” As a responsible entrepreneur, you also have to know when it’s over.
The misery at Fretz Men has numerous causes: changes in purchasing behavior, high shipping costs, inflation, sharply rising raw material prices, supply chain delays and the corona pandemic. Added to this were the great difficulties and bankruptcies experienced in the retail sector, as was the case with Vögele Shoes. The business world in Germany suffered greatly from this.
In addition to the closed Vögele Shoes branches, Fretz Men’s shoes have been in the Flaschenbach chain for years.
Return failed
Lauterburg takes over as CEO of Fretz Men in spring 2020 and is looking to put the family business back on the path to success. In the summer of 2020, production was stopped at the headquarters in Fahrwangen AG and was procured from abroad. Switzerland was very expensive, that was the logic back then. 30 people were laid off.
That spring, almost all of the remaining employees had to leave. Lauterburg says a volunteer support plan can be prepared for them in “AZ”. According to the CEO, everyone has found work again. (smt)