Distress Gauge Shows Europe’s Retail Pain Is at Sept 2009 Levels

Distress in Europe’s retail and consumer-goods sector stands above levels seen during the global financial crisis in 2009, according to the latest reading of law firm Weil Gotshal & Manges’ proprietary index.

Conditions in the sector deteriorated further both in the quarter and the year, the firm said in an accompanying report. The latest increase reflects “weaker discretionary demand, margin compression, and tighter credit conditions,” as well as ongoing uncertainty around tariffs and supply-chain disruptions.

More broadly, corporate distress across Europe eased slightly as of August 2025, with the The Weil European Distress Index, or WEDI, falling to 3.4 ...