Paris (AFP)

Furniture specialist Conforama, already in trouble before the coronavirus crisis, saw his situation worsen during confinement to the point that his survival is now threatened according to the unions, while his competitor But feeds on "plans for alliance "with him.

Haro on BNP Paribas: Conforama unions accused the bank this weekend of risking bankruptcy at the brand, which has several thousand employees in France and on which around 20,000 jobs depend on suppliers and manufacturers.

Why? "Confo" recently requested a loan guaranteed by the State (PGE), a device set up to support companies affected by the health crisis, from the Interministerial Committee for Industrial Restructuring (CIRI). But BNP is reluctant to lend to the sign, Force Ouvrière denouncing a "disengagement which does not mean its name".

- "days of survival" -

The BNP responded the same day to AFP not to be "the bank of Conforama France", and assured that "if a new industrial and commercial project, long term and mobilizing the current shareholders or new shareholders, should be draw, (she) would examine it. "

"The BNP is one of the main banks in Conforama," said a source familiar with the matter to AFP. However, the distributor would need this cash, according to staff representatives. Without State intervention, "it is only a question of days of survival ...", believes CFE-CGC.

The company had already announced in July the closure of 42 stores (Conforama and Maison Dépôt brands), as well as 1,900 job cuts out of 9,000.

Controlled since 2011 by a South African shareholder, Steinhoff, it implemented a job safeguard plan (PSE) approved on February 27 but which "cannot be financed if the loan is not granted", s worries the CGT federation of trade and services.

At present, cash flow problems are disrupting the reopening of post-containment stores: only about twenty of the 160 or so still in operation have been welcoming the public since Monday "in order to last as long as possible financially", according to the same source close to the folder.

In addition, Conforama, having "a purchasing policy favoring the assortment from the French industry, is an important customer for its French suppliers", points out to AFP l'Ameublement français, the professional organization of furniture manufacturing players.

These manufacturers would therefore be "weakened by the disappearance of this player, or by a concentration of distribution which would not be accompanied by serious guarantees for French manufacturers", he adds.

- "alliance" -

Because the misfortunes of Conforama give envy of union to the competitor But, which claims the second place on the market, behind the Swedish giant Ikea. Its CEO Alexandre Falck spoke to AFP of a "project of alliance of two brands which would live and would be in healthy competition on the market, so that they can continue to develop both".

This project would be "under conditions", he details. "OK to take over the stores, the personnel and the logistical tools, OK to pay the suppliers because they are the same as ours and we need them to survive". On the other hand, But "will not put a penny to ensure the exorbitant returns on investments which had been envisaged by the creditors".

But "seeks to take advantage of the deadlock situation", retorts the same source close to the case. "What interests them is only certain assets and not the whole activity and the employees".

One thing is certain, the sector is starting to give serious signs of weakness: in March, the activity of the distribution of domestic furniture thus fell by 51.6% according to the Institute of prospective and studies of furnishings. And in April, the decline is estimated at 80%.

With a first victim: the Alinéa brand, which employs nearly 2,000 employees, was placed on May 13 in receivership by the Commercial Court of Marseille.

mpf-lrb-ls-cda / tq / eb

© 2020 AFP