Ottakar's set to realise growth potential in 2004

Ottakar's expects organic expansion next year to be at the top end of its previous forecast.

Finance director Edward Knighton said he is confident of growth of between 50,000 sq ft and 75,000 sq ft (4,645 sq m and 6,965 sq m) - representing between eight and 12 stores.

He reiterated the previous expansion target of a total of 300 to 320 UK shops and believes the 120-store chain can sustain expansion into smaller towns. He is increasingly confident that the UK book sector can also sustain more overall growth.

Knighton was particularly pleased with the performance of the recently opened Guildford store, pitched opposite WHSmith and close to two Waterstone's outlets.