Game to call in experts on restructuring
Game Group is poised to hire a restructuring team at Deloitte, the accountancy firm, to deliver a strategic plan for next year to help it turn around its dire performance.
The embattled computer games retailer, which has 610 UK stores, has also spoken to restructuring teams at other firms over recent weeks about improving its deteriorating financial position. But Deloitte appears the front-runner to be hired.
Game – which had debts of £91m as of 31 July – has been hit by the wider consumer downturn. But the retailer is also suffering from tanking demand for its products, despite a boost from new releases, including Call of Duty: Modern Warfare 3.
In November, Game issued its second profits warning in five months, adding that its like-for-like sales this year would be down by at least 7 per cent. The City expects Game to post a loss of £12m for the year to 31 January. Its shares have lost 87.5 per cent of their value this year and closed at a lowly 8.75p yesterday.
Alongside its profit warning last month, Ian Shepherd, the chief executive of Game, insisted it had "outperformed the market", but said it was in "extraordinary economic times". Royal Bank of Scotland is the biggest lender to Game. All parties declined to comment.
- 1 Three of Pope Francis' relatives die in Argentina car crash, including two young great-nephews
- 2 Michael Brown shooting: Amnesty International sends team within US for first time as National Guard deployed
- 3 Reading Festival 2014: Tesco branch replaces salad with Jager and potatoes for vodka as campsite opens tomorrow
- 4 Here’s the damning letter Robin Williams wrote to his Mrs Doubtfire co-star's principal after they expelled her
- 5 Ferguson protests: 90-year-old Holocaust survivor Hedy Epstein ‘arrested’ by police during St Louis demonstrations
Syria conflict: President Assad finally turns on Isis as government steps up campaign against militant strongholds
Michael Brown shooting: Amnesty International sends team within US for first time as National Guard deployed
Iraq crisis: Islamic State's message to America - 'We will drown you all in blood'
Ferguson: In the heartlands of America, a descent into madness
Celebrity Big Brother 2014: Audley Harrison meets Kellie Maloney: 'Was Kellie really the best you could come up with?'
Isis threat: Cameron wants an alliance with Iran
Crisis? What crisis? A visiting US doctor gives the NHS a rave review
Ukip MEP calls for reintroduction of death penalty on fiftieth anniversary of last deaths
Russell Brand calls for Israel boycott: Comedian urges big businesses that 'facilitate the oppression of people in Gaza' to pull funding
Michael Brown shooting: Chaos erupts on the streets of Ferguson after autopsy shows teenager was shot six times – twice in the head
World peace? These are the only 11 countries in the world that are actually free from conflict
iJobs Money & Business
£30000 - £44000 per annum + Bonus+Benefits+Package: Harrington Starr: Web deve...
£40000 - £65000 per annum + benefits+bonus+package: Harrington Starr: Senior A...
£35000 - £45000 per annum + benefits+bonus+package: Harrington Starr: Web deve...
£30000 - £40000 per annum + benefits+bonus+package: Harrington Starr: ETL Deve...