On Friday The Drinks Business carried an exclusive interview (Baile: Back end "killed' Oddbins) with Simon Baile, formerly managing director of x-bins. Baile explains that Oddbins failed not because of the shops but because of the "back end of the business". They had a lot of fixed contracts and couldn't cover the costs.   

Baile's interview prompted a classic response from a member of the wine forum on Tom Cannavan's wine pages: 'Simon Baile's calling himself an arse? Sounds remarkably honest.'

Baile's comments rather confirm that Baile and his partners hadn't done their due diligence properly when they took over Oddbins in 2008. If fixed contracts were the problem why did Baile's Oddbins rack up debts well in excess of £20 million, while assuring suppliers that they would be paid? Remembering that £8.4 million of that is owed to the UK Government – ie you and me. 

Baile goes on to talk about his newly expanded ExCellar business. 'As would be expected, it hasn’t been straightforward securing suppliers. “Some have been supportive, others less so – they know who they are,” Baile said.'

Arrogant? Moi?

Fortunately some companies take care over who they supply, otherwise Oddbins' debts might have been even higher. There were a number of companies, such as Bibendum, Patriarche UK and I believe Moët Hennessy, who declined to supply Oddbins well before they went pop. Talking with one of Bibendum's most treasured senior executives it was clear to me that they wouldn't touch Baile's Oddbins with a bargepole. I somehow doubt if they are supplying ExCellars.   

Details from IOM companies register: 

LAYBURN ENTERPRISES LIMITED
Burleigh Manor
Peel Road                          
Douglas IM1 5EP 
Isle of Man Company Number: 125751C 

Who is Oddbins.com        

David Peter Craine
Layburn Enterprises Limited
Burleigh Manor
Peel Road
Douglas
Isle Of Man IM1 5EP
United Kingdom

http://www.whois.net/whois/oddbins.com.com 

Brief Biography
David Peter Craine, F.C.A J.P is Non-Executive Director of Hotel Corp. He is a former Chairman of the Isle of Man Society of Chartered Accountants, Mr. David is a founding member and Director of Peregrine Corporate Services Limited. A born and bred Manxman, David is also a Director in the Isle of Man firm of Browne Craine Associates Limited, an accountancy practice he founded with Maurice Singer in 1982. This firm being the successor to a long established and regarded local practice that was absorbed into the new partnership. Mr. David was also the Finance Director and Company Secretary of Webis Holdings plc formerly Betinternet.com plc which is an AIM listed company.

(From Hotel Corp Plc site) 

Dear Jim,

 

I am the ex-manager of Oddbins Westminster.

I have just got this email from Simon, which I consider an ultimate insult from the person that is responsible for the demise of our company.

I have not found back a job in the wine industry yet, and the market doesn’t look very good for ex-oddbins employees. I hold him personally responsible for the financial difficulty I am in (and I really am…) and cannot believe the cheek of it.

 

Anyway, I thought you might want to publish this, if you do, feel free to include my name.

 

Yours sincerely,

Gwenole Quiel

From: Simon Baile [mailto:simon@excellar.co.uk]
Sent: 10 June 2011 18:55
To: gwenquiel@
Subject: Ex Cellar 35% Off Wine Voucher

"In quick time they were at the wine-pipe; for a moment the new hands seemed at a loss for the means of getting the wine to their mouths; but the "wide-a-awake" boy sliped (sic) off one of his shoes in a twin­kling, dipped it into the cask and drank. "Drink, you devils, drink!" he said; "its all one how much you drink, only don't get drunk!" And again he filled his shoe, and again he drank. The previous debauch in con­nexion with the new, soon tum­bled him on the ground; and he lay there gradu­ally sinking into stupidity; but, as he took his leave of conscious­ness, he admon­ished the others to take care of themselves; to take as much as they could rightly carry; but not to get drunk, saying, as he sunk lower and lower him­self, "Fill your boots, boys-fill your boots! Give me one small drop in a shoe to make me well again, for I'm- I'm-." Alas, poor hu­manity! There lay in the deep­est degradation, as good a fight­ing soldier, and, when he could not get drink, as cleanly and ac­tive a fellow as ever the English army pos­sessed."

* Terms and conditions apply: purchases must be made by people over 18 - offer is subject to availability - a valid email address is required - offer only applies to wine - no further discounts - other discounts & deals do not apply

Interesting discussion on Tom Cannavan's Wine Pages' Wine Forum over whether the sending of these emails has contravened the Data Protection Act.