Features
Kleenmaid creditors brace for news
22nd April 2009
KLEENMAID creditors are expected to receive bad news at their first meeting with administrators on Thursday.
The Queensland-based appliance retailer went into administration on April 9, owing about $73 million.
Secured creditors such as Westpac are owed about $28 million, while customers' deposits come to around $27 million and trade customers and suppliers are owed $16 million.
A source close to administrator Deloitte told AAP unsecured creditors should be aware that secured creditors would come ahead of them.
"They shouldn't turn up on Thursday with false expectations," the source said.
"There are no products to supply and (unsecured creditors) sit behind secured creditors when it comes to any potential financial returns.
"Essentially there's nothing left for unsecured creditors."
Disgruntled customers, some of whom have forked out tens of thousands of dollars, have been turning up to Kleenmaid stores seeking their appliances but are being told they cannot be supplied even if the goods have already been paid for.
Global shipping company Schenker is understood to have up to $5 million in Kleenmaid stock in its warehouses, but won't release it until acceptable arrangements have been reached with them in relation to their outstanding debt.
Deloitte is also facing a problem of being unable to match Kleenmaid customers with their paid-for appliances, because order forms do not have specific appliance serial numbers on them.
The situation has been complicated further by the fact Kleenmaid made it a condition of sale that customers could not claim ownership to any ordered product until it was fully paid for and delivered.
Australian Consumers Association spokesman Christopher Zinn said he hoped customers would get some recognition at the meeting.
"There is considerable consumer detriment," he said.
The meeting will be held at the Chifley Hotel in Brisbane from 10am (AEST) on Thursday.




















