More Struggles in Store at Beale ; Market Report

Daily MailFebruary 10, 2009

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Summary


FEARS that 127- year- old Dorset- based department stores group Beale could be heading for the knacker's yard should trading conditions in the High Street deteriorate any further left the shares 7p down at 28 1 / 2 p. Chairman Mike Killingley rang alarm bells by warning that it may breach banking covenants in the current financial year, which could cast doubts on its ability to trade as a going concern.

In other words, its position remains extremely precarious even though it recently secured a new Pounds 9m loan facility with HSBC, repayable in February 2011, in addition to the existing Pounds 500,000 overdraft facility payable on demand.

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More Struggles in Store at Beale ; Market Report

Along with publication of poor full-year results, Killingley said the earliest he expects any improvement in the trading environment is 2010. Net debt at the end of the year rose to Pounds 7.8m fro...

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