Entertainment retailer blames tough climate
Music and book retailer's HMV is the latest victim of tough high street trading, reporting falling UK sales today.

Group like-for-like sales were down 4.4 per cent in the 21 weeks from May 1.

Music chain HMV's UK stores experienced a 9.2 per cent like-for-like sales fall.

At the group's book chain Waterstone's, sales fell by 4.6 per cent and like-for-like sales were down by 6.4 per cent. The group made a recommended cash offer to acquire Ottakar's, believing that, as a bigger group, it is better positioned to respond to market pressures.

HMV Group chairman David Kappler said: 'Retailing in the UK has been tough during the financial year to date and there are few signs of an improvement. Our offer for Ottakar's will result in a stronger and more efficient book business.'

The group's international business performed much better, with HMV Canada showing a like-for-like sales growth of 7.7 per cent. However, HMV has sold it 32-store Australian business to a local retailer Brazin for AUS$ 4 million (£1.7 million).