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Three months after entering insolvency, Staer lays off 120 people and closes large stores in malls

Staer Internaţional furniture company, which in December enteredinsolvency at shareholders' request, closed several stores itoperated in shopping centres and opened new ones in street frontlocations, in line with Official Gazette information.

Thus, the stores in European Retail Park Bacău, Brăila andSibiu, as well as a Bârlad store were shut down, while new storeswere opened in Bacău and Brăila.

"In January 2011, rental contracts for retail spaces developedon large areas, where space costs were not covered by generatedrevenues, leasing contracts for goods that were not absolutelynecessary for current operations and services contracts that werenot absolutely necessary for the carrying out of activities werecancelled," reads a document titled "Staer Internaţional plan ofmeasures", published on the website of Elva Cont, thecourt-appointed administrator of Staer Internaţional.

In February 2011, according to the same source, rental contractsfor around 70% of rented spaces were renegotiated and personnel wasdownsized (120 people were made redundant) as part of thereorganisation move.

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