Cue and Veronika Maine lost relevance with shoppers, then went into receivership

Rod Levis opened a Sydney boutique selling Beatlemania-era youth fashion and launched Cue in 1968. By the 1970s it was in Myer stores nationwide, in the 1990s Claudia Schiffer fronted its 1997 campaign, and in 1998 it launched the sister label Veronika Maine. Both labels were big wholesale names in the early 2000s, stocked by Myer and David Jones, but were removed from wholesaling entirely by 2008 as the company shifted toward direct-to-consumer channels.

Trouble built after the pandemic. ABC News reports that working from home, online shopping, overseas price competition, a casual-workwear shift and a lack of aspirational brand identity on social media produced a 'perfect storm'. Filings lodged with ASIC for FY2024 showed a A$14.1 million loss, six times the A$2.3 million of the year before, with liabilities exceeding assets by A$3.3 million. Justin Levis left as executive director in 2024, and Rod Levis sold Cue to British turnaround specialist Hilco Capital in April 2025.

Hilco appointed a chairman, CEO and CFO, but shoppers still complained of undelivered online orders and landlords and suppliers went unpaid. The chairman stepped down in June 2026 and Hilco put Cue up for sale in August; within a month the CEO and CFO announced their exits, and days later Hilco called in receivers. FTI Consulting said operating costs were outweighing sales.

A$14.1M loss in FY2024 (six times the prior year's A$2.3M), receivership in September 2026, five of 51 stores shut immediately

Analyst James Stewart told ABC the biggest reason mid-market apparel brands fail is product that no longer reads as value to their target market at their price points.

ABC reports the labels had no aspirational brand identity on social media as shoppers moved online and to cheaper overseas competition.

The company went through a A$14.1M loss in FY2024 with liabilities above assets, and relied on shareholder assurances to keep trading.

Hilco bought a distressed business and tried to sell it within 16 months; Stewart called it 'a buyer of last resort trying to sell something that they couldn't fix'.

A heritage brand can survive a pandemic and still fail if its product and price stop looking like value to its customer. Turnaround buyers fix balance sheets, not relevance.

FTI Consulting, as receivers, closed five of Cue's 51 stores while keeping the department-store footprint for now. A report lodged at the end of May showed a A$5 million net loss and warned of going-concern doubt. The receivers said there had been good initial interest from potential buyers, with first offers expected in early October 2026; Stewart expects any rebuilt business to be significantly scaled back.