Forminster is preparing to call in administrators if talks with Vivarte, the French owner of the Kookai brand, collapse, according to today's Times.
Vivarte has told Forminster that its franchise 'is not appropriate to be renewed' when it expires at the end of December.
Troubled retailer Forminster unveiled a loss of nearly£2 million earlier this month and faces an uncertain future. For the 26 weeks to August 27, Forminster revealed a loss after tax of almost£1.9 million. 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 at the time: 'The autumn has been very difficult, especially as Kookaï has again failed to deliver. Stock levels are believed to be down 35 per cent.'