This article is from the source 'bbc' and was first published or seen on . It will not be checked again for changes.
You can find the current article at its original source at http://news.bbc.co.uk/go/rss/-/1/hi/business/6225070.stm
The article has changed 4 times. There is an RSS feed of changes available.
| Version 0 | Version 1 |
|---|---|
| Jessops to cut shops and workers | |
| (about 3 hours later) | |
| Photographic retailer Jessops plans to close 81 High Street stores, about a quarter in total, and cut 550 jobs. | |
| It said that 47 of the stores overlap with other Jessops shops in the same area, and three will be relocated, leaving the retailer with 234 stores. | It said that 47 of the stores overlap with other Jessops shops in the same area, and three will be relocated, leaving the retailer with 234 stores. |
| It is part of a strategic review which aims to save the Leicester firm £15m. | It is part of a strategic review which aims to save the Leicester firm £15m. |
| The camera chain has been struggling as consumers swap to digital photography, hitting parts of Jessops traditional developing and film camera business. | The camera chain has been struggling as consumers swap to digital photography, hitting parts of Jessops traditional developing and film camera business. |
| Jessops' shares gained 7% to 19.25 pence in London on the news. | |
| Earnings outlook | |
| In March shares plunged almost 70% after the photographic retailer issued its second profits warning in a month. | In March shares plunged almost 70% after the photographic retailer issued its second profits warning in a month. |
| The cost-cutting drive came as the firm announced pre-tax losses of £25.2m for the six months to 1 April. | The cost-cutting drive came as the firm announced pre-tax losses of £25.2m for the six months to 1 April. |
| The company has been suffering from internet and supermarket competition in the digital camera markets. | The company has been suffering from internet and supermarket competition in the digital camera markets. |
| Commenting on latest moves, executive chairman David Adams, said: "The strategy allows us to re-position Jessops as a true multi-channel retailer, building on our core strengths in the digital imaging market place." | Commenting on latest moves, executive chairman David Adams, said: "The strategy allows us to re-position Jessops as a true multi-channel retailer, building on our core strengths in the digital imaging market place." |
| He continued: "The board is confident that Jessops will deliver a significant turnaround in its financial performance." | He continued: "The board is confident that Jessops will deliver a significant turnaround in its financial performance." |
| The company said that its pre-tax loss was £8.5m in the 26 weeks to 1 April, compared with a profit of £5.1m a year earlier. | |
| Like-for-like sales fell 12.9% in the 12 weeks to 17 June, while total sales dipped 9.8%. | |
| Jessops, which also annouced that it had extended a loan agreement, expects its full-year pretax loss, before refinancing and restructuring, to be close to £6.5m. |