Shares in JJB Sports were down on the FTSE All share in morning trading, following a statement yesterday in which the sports retailer said it expected to breach its £25 million banking facility.
The group said that since its interim trading statement on 11 November trading conditions had continued to be "extremely challenging", with like for like sales remaining "below expectations". JJB said it expected poor trading to continue thanks to the cold weather.
With two months of trading left before the group's year ends JJB said its outlook for the full year was "uncertain".
The difficult trading conditions also make it likely that JJB will breach the terms of its £25 million revolving facility with Bank of Scotland, the company said. JJB said it was exploring further business restructuring options and alternative sources of finance.
This morning by 10:50 shares in JJB Sports were down 3.38 per cent on the FTSE All share to 4.58 pence per share.