The stationery and book retailer said the separation would create two distinct businesses able to focus on their individual strategies. It is said the move would allow WHSmith Retail to continue the delivery of its recovery plan and leave the news distribution arm able to work more effectively with other retailers.
Despite the sales decline at the high street business, pre-tax profits across the group rose 4 per cent to£71 million for the six months to February 28. Like-for-like sales in the travel retail business were up 3 per cent.
The group said like-for-like sales for the six weeks to April 8 were down 3 per cent, but added that the timing of Easter this year made comparisons with last year difficult.
Group chief executive Kate Swan said: 'In a challenging environment, high street retail has increased its profitability by 6 per cent and is on track in the delivery of its plan. Overall, we continue to be cautious about consumer spending. However, we remain confident in the outcome for the full year.'
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