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HMV 'preparing to axe 70 stores'

As many as 1,500 jobs could be lost, report claims

Administrator Deloitte is this week expected to announce plans to shut between 60 and 100 HMV stores.

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That's according to a Telegraph source "close to HMV", who said the affected stores will remain open until they have run out of stock.

[Update: HMV is believed to be planning to close approximately 70 stores, according to a new MCV report.]

The closures are expected to include one of HMV's two flagship shops in central London and result in the loss of up to 1,500 jobs. HMV presently operates some 223 shops across the UK, employing over 4,000 staff.

Restructuring group Hilco acquired HMV's debt last month after the company went into administration, effectively giving it control of the retail group.

Previous reports claimed Hilco plans to run a streamlined version of the chain, which could see interested parties acquiring unwanted stores. A similar strategy has helped Hilco turn around HMV's Canadian arm, which it acquired in 2011.

About 50 parties are believed to have expressed an interest in HMV to Deloitte, with GAME Retail apparently keen to purchase 45 stores.

Last week an anonymous person with access to the official HMV twitter feed claimed to be one of 190 staff to have just lost their jobs.

Additional reporting: Tom Ivan

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