Further fall in M&S share price

Latest M&S share price

Shares in Marks and Spencer have fallen a further 4% after analysts predicted its profits could decrease by more than a third this year.

The decline, to 218 pence, means the retailer's shares have lost 35% of their value since last Monday.

M&S shocked the market last week when it reported falling sales and predicted "stormy times" ahead for the economy.

M&S made profits of more than £1bn in 2007. Analysts now expect group profits of £626m-£700m in 2008.

Retail analyst Philip Dorgan of Panmure Gordan forecast full-year profits of £626m.

"It is going to be a tough job to regain market confidence," he said.

M&S's chief executive Sir Stuart Rose faces a difficult time at this week's annual general meeting.

Up to 30% of shareholders are expected to either abstain or vote against his appointment as executive chairman in protest against him holding the two most senior positions in the company, which breaks corporate governance guidelines.

Shares closed down 10 pence at 217p.