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Waterstones reveals €13m pre-tax loss after closure of two stores

The Irish arm of bookseller Waterstones plunged further into the red last year after the company recorded impairment charges and store closure costs totalling €13.1m.

Last year, two of Waterstones three Dublin stores closed with the loss of 46 jobs following a decision by its former parent, the HMV Group.

The UK-based Waterstones group was acquired by a vehicle of Russian billionaire businessman Alexander Mamut, A&NN Capital Fund Management, from HMV for £53m (€63m) on a debt and cash-free basis in June last year.

Accounts just filed for the 53 weeks to the end of April 30, 2011, show that Waterstones Booksellers Ireland recorded a pre-tax loss of €13m after a pre-tax loss of €7.9m in fiscal 2010.

The company recorded the loss last year after exceptional costs totalling €13.1m were incurred as a result of non-cash impairment of intangible assets, together with store closure and pension scheme settlement costs.

The figures show that the bookseller's revenues last year declined by 8.8pc from €21.7m to €19.8m.

As a result of the store closures last year, the company's Hodges Figgis is the book chain's only remaining Dublin outlet.

Irish Independent