Future uncertain for group
Troubled retailer Forminster has unveiled an uncertain future and a loss of nearly£2 million.

For the 26 weeks to August 27, the fashion group revealed a loss after tax of almost£1.9 million, against£841,000 for the same period last year. Sales across the group were up 9 per cent like for like. Margins slid by 7.4 per cent.

Seymour Pierce analyst Richard Ratner said: 'The autumn has been very difficult, especially as Kookaï has again failed to deliver. Stock levels are believed to be down 35 per cent.'

The group announced in October that it would not be renewing the franchise agreement it holds with its key fashion brand Kookaï in its present form and discussions with Kookaï to formulate a new agreement are in progress.

However, the group has placed orders with Kookaï for next year. Forminster chairman Sir Philip Carter said: 'Clearly the board would have preferred a new agreement to be in place by now.

However, in the event that no agreement is reached with Kookaï and credit facilities, the directors believe there is fundamental uncertainty as to whether Forminster can continue in its current format.'