STRUGGLING outdoor chain Blacks Leisure today said first-half losses had almost trebled amid talks over a survival plan for the business.
The firm has announced plans to close 89 loss-making stores and called in administrators to its O’Neill boardwear outlets after warning it would breach banking covenants last month.
The company is in discussions over a restructuring plan presented to Lloyds Banking Group ahead of tomorrow’s deadline set by the bank.
Blacks made pre-tax losses of £18.1 million in the 26 weeks to August 26, up from £6.7 million previously, as its boardwear division and underperforming Blacks and Millets stores dragged the group down.
Chief executive Neil Gillis said: "In the current economic environment it is clear that more radical restructuring measures are needed to free the core outdoor business from the burden of the loss-making boardwear business and a tail of stores that have not traded profitably for many years."