Administrator confident about wine company's prospects

The receiver for an Auckland-based wine retailer is confident the company will be able to trade its way out of debt.

The Fine Wine Delivery Company owes creditors $2.7 million and has opted to go into voluntary administration. It has appointed Gareth Hoole of Accountancy firm Staples Rodway as Administrator.

Hoole said the company got into difficulties after opening a store in Christchurch.

He said it has not worked and has cost the company a lot of money.

The Administrator has closed the Christchurch shop and the company will now be concentrating purely on its core business in the Auckland market.

Hoole said the Fine Wine Delivery Company has a tremendous amount of support from creditors and he is confident it get through its current difficulty.

- NEWSTALK ZB