Retail giant HMV Group are to close around 60 of its retail outlets across the UK and Ireland after its worth fell as much as 25 percent on the London stock market.
Up to 900 jobs could be at risk as the retailer, is expected to shut around 40 HMV stores and 20 Waterstone’s branches this year in a bid to cut a 10 million pounds of costs a year.
The closures represent a tenth of the group’s UK shops.
The stock declined to the lowest since its initial flotation in 2002.
Simon Fox, the retailer’s chief executive, blamed the bad weather in the run up to Christmas as a contributing reason for the company’s downturn.
The company reported an almost a 13% fall in sales in the crucial five weeks to January 1. The retailer’s core market of CDs and books has also been hit hard by the proliferation of digital platforms and music has particularly been hit by illegal downloads.
Another factor is that the retailer also faces stiff competition from online retailers such as Amazon.
HMV group currently has 600 HMV and Waterstone’s stores in the UK.