Hong Kong Bakery Chain Crostini Closes All Outlets After Nearly a Decade
by: The Beat Asia
September 15, 2022
Local bakery chain Crostini has announced a sudden closure of all its retail outlets yesterday. The news came in the form of a Facebook announcement on Tuesday evening that also touched upon the company’s difficulties in maintaining business operations as a result of pandemic-induced economic strain and an ongoing decline in sales.
“Many sectors have been greatly affected amid the pandemic,” said the vendor. “It is a pity that Crostini cannot turn things around and has no choice but to make a grave and disappointing decision.”
Many customers are worried about the efficacy of their pre-paid coupons, with some having spent up to a few thousand dollars on wedding cake coupons. The Consumer Council has since received complaints, mostly regarding past-customers being unable to redeem products anymore due to the closure.
Founded a near-decade ago in 2013 by Wong Kwong-fai, the chain had grown to about a dozen shops scattered throughout Hong Kong. Wong was reported to have told local media that the chain took part in the government’s rent deferral programme, allowing a delay in payment for up to three months but was unable to repay his deferred cost that piled up once the period was over.
Having borrowed up to HK$80 million from friends during the rough patches, Wong was still unable to pay off rent, nor employee wages for the August and September months totalling HK$3 million, reports The Standard.
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