Partly Cloudy

Partly Cloudy

max temp: 21°C

min temp: 14°C

ESTD 1874 Search

Suffolk/Essex: HMV stores set to escape national cull

16:24 05 January 2011

HMV is to close 60 stores in the UK

HMV is to close 60 stores in the UK

UK: Music chain HMV - which has severl branches in the region - today announced it is to close 60 of its 400 stores after reporting dismal sales figures.

shares

STAFF at retail group HMV were left facing an uncertain future today as the troubled firm announced plans to close 60 stores across the UK over the next 12 months.

The news came as HMV delivered a dismal set of Christmas sales figures after its peak trading season was “significantly undermined” by severe weather.

HMV, which also owns the Waterstone’s chain of book shops, warned that profits for the year to April were set to be near the bottom of the current range of City forecasts, of between £46million and £60m.

The group reported a 13.6% slump in HMV’s like-for-like sales in UK and Ireland in the five weeks to January 1, although Waterstone’s improved on its recent performances with a like-for-like fall of just 0.4% for the same period.

Around 40 HMV stores are expected to be closed together with about 20 Waterstone’s branches, but no details of the locations have been confirmed.

The HMV network includes town centre branches in Ipswich, Bury St Edmunds, Colchester and Chelmsford, and shops at Stansted Airport and the Freeport Braintree shopping village.

Waterstone’s has two stores in Bury St Edmunds (one in the Buttermarket and the other within the Arc shopping centre), two Colchester (one in the town centre and the other on the University of Essex campus), and one each in Ipswich, Lowestoft and Chelmsford.

Fiona Allen, a spokeswoman for Waterstone’s, said it was too early to give any indication as to which of its stores may be affected, adding that no assumption should be made that because there were two stores in Bury one would close.

Gennaro Castaldo, head of press and PR at HMV UK and Ireland, said the stores to be closed were “likely to be located primarily in large-city conurbations and may be in close proximity to each other, thus resulting in a degree of duplication in relation to local demand, which is not really the case in Suffolk and Essex”.

He added: “This move in no way signals any intention to pull out of entertainment retail, which remains at the heart of our offer, and is ultimately aimed at safeguarding our core business as we continue our transformation into a broad-based entertainment brand that now also encompasses live music venues and festivals.”

In its trading update today, HMV said that as well as disruption caused by snow and ice before Christmas, its core entertainment markets remained weak, underlining the urgency of its turnaround strategy.

Faced with competition from supermarkets in the CD and DVD markets, HMV has branched into new areas such as technology sales, recently including Apple’s iPad, as well as entertainment-related products. It has also pushed into fashion, mobile phones and Blu-ray discs, while its swoop for festivals and gig venue owner MAMA Group cemented its position in the fast-growing live market.

shares

2 comments

  • it this the vinyl countdown

    Report this comment

    richard procter

    Thursday, January 6, 2011

  • Actually Waterstones have two branches in Colchester town centre literally a stones throw from each other and two in Chelmsford town centre, both are large stores about two minutes walk apart. So both, along with Bury, almost perfectly fit the criteria to have stores closed.

    Report this comment

    Mike Crotchley

    Thursday, January 6, 2011

The views expressed in the above comments do not necessarily reflect the views of this site

Firefighters rescued a woman stuck in mud in Glemsford

A woman who was trapped in mud and lost in Glemsford was found after a frantic search involving fire, police and ambulance crews.

An accident has caused travel delays

A 79-year-old man has died following a collision involving a trailer that had separated from a tractor as it travelled along an Essex road.

The Woolpack in Ipswich

Seven teenagers were arrested after a street fight spilled into a busy pub located near to Ipswich Music Day.

Catherine, Duchess of Cambridge, Prince William, Duke of Cambridge, Princess Charlotte of Cambridge and Prince George of Cambridge arrive at the Church of St Mary Magdalene on the Sandringham Estate for the Christening of Princess Charlotte of Cambridge. Photo by Chris Jackson - WPA Pool/Getty Images

Princess Charlotte was christened in front of the Queen and close family and friends today as the Cambridges had their first public outing as a family of four.

Thousands of visitors attended the Ipswich Music Day in Christchurch Park on Sunday.
L-R Donna Allport,Tony Croft,Hannah Cruse.

The annual Ipswich Music Day in Christchurch Park is well underway after a wet start to proceedings.

An appreciative crowd enjoying the entertainment at the first Bury Folk Festival held in the walled garden at Nowton Park on Saturday.
Bury Folk Collective chairman Brian Kew who performed with twelve-year-old Francesca Akehurst

Hundreds of people visited Nowton Park for a folk festival’s inaugural event at the weekend.

The Women on Wheels bike ride sets out from Nowton Park near Bury.

Almost 200 women got on their bikes for charity earlier today and cycled hundreds of miles to support St Nicholas Hospice.

An Abellio Greater Anglia train at Colchester

Train delays through Suffolk and Essex have been caused by urgent repairs to a railway bridge between Witham and Hatfield Peverel.

1st Woodbridge Scout Group take part in the Woodbridge carnival procession.

This year’s Woodbridge Carnival was particularly special for several reasons.

Delays have been caused after a two-vehicle collision on the A11. PRESS ASSOCIATION Photo.

A person has been taken to hospital after a two-vehicle crash left one car upside down off the A11.

Most read

Topic pages