HMV Warns Of Banking Agreement Breach

Written By Unknown on Kamis, 13 Desember 2012 | 14.43

HMV has warned that uncertainties facing the business mean it is likely to breach its banking covenant in January.

The high street stalwart - which sells CDs, DVDs, games, music players - said it was in "constructive discussions" with banks about its performance.

Total sales at HMV fell 13.5%, while like-for-like sales were down 10.2% in the six months to October 27.

It reported a loss before tax of £37.3m - an improvement on the £48.1m loss over the same period the year before.

But the the 91 year-old company said its net debt increased to £176.1m from £163.7m.

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