Kleenmaid collapse: Couple loses $13,000

By Jodie Minus
Updated November 5 2012 - 8:16pm, first published April 14 2009 - 11:44am
Kaylene and Ernie D'Arcangelo stand where kitchen appliances were to go. Picture: KIRK GILMOUR
Kaylene and Ernie D'Arcangelo stand where kitchen appliances were to go. Picture: KIRK GILMOUR

Ernie and Kaylene D'Arcangelo hoped to move into their dream home at Wilton in two months but now face the possibility of living without a kitchen after the collapse of Kleenmaid last week.The couple had pre-purchased $13,000 worth of appliances from the company but the newly appointed administrators say they can't guarantee the couple will see their goods or receive a refund.The Queensland-based whitegoods company went into voluntary administration last week with $73 million owed to creditors including banks and other lenders, suppliers, landlords and customers. It has left 150 people without a job.

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  • Job cuts at KleenmaidFormer Woonona couple Mr and Mrs D'Arcangelo prepaid for a Kleenmaid oven, microwave, rangehood, refrigerator and kitchen sink from the Wollongong store about six months after work began on their new home.Despite the fact completion of their house would be almost two years off, Mrs D'Arcangelo thought it wise to get the kitchen payment out of the way and Kleenmaid had a deal too good to resist."We went with Kleenmaid because of its reputation and great warranty," Mrs D'Arcangelo said."They said it was quite common for them to keep the goods for over a year, two years, while people build. "The deal is that you buy those appliances and if the model is upgraded in the meantime, you get the new model at no extra cost."On Friday, the couple learned about the company's decision to appoint administrators. The next day they rushed to the Wollongong store to find it locked and empty.A spokesman for the administrator Deloitte said the D'Arcangelos should visit the company's website and register their details."They are in the same situation as anybody else who has been paid up in full or in part," he said."They need to give the details of their order or any other important material so we can then try and establish what the next steps are and establish what products we have in the warehouse."There are a number of products in the warehouse where we need to establish ownership and work out what, if anything, can be distributed, or sold through the franchisee network."The D'Arcangelos are now living in a shed next door to their new brick home, which is in the pre-gyprock stage. They were hoping to install the kitchen next month. Now they are faced with a dilemma - to wait and see whether Kleenmaid comes up with the goods and accept them without a warranty or to swallow the $13,000 loss and buy another brand of appliances."We feel a bit sorry for the people working there as they have lost their jobs," Mrs D'Arcangelo said. "Deloittes are sending a letter today, so we will see what that says."
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