Ten Coffee Republic outlets close

Coffee Republic has been hit by a slowdown in consumer spending

Ten of the 20 outlets directly owned by coffee chain Coffee Republic have closed with the loss of 66 jobs, the firm's administrators have said.

The news comes two days after the company went into administration.

Tuesday's move has not affected the 167 Coffee Republic outlets that are either owned by franchisees or are concessions in cinemas and hotels.

Administrator KPMG said it was now in talks with potential buyers for the firm, and had received "huge interest".

I remain confident of achieving a sale during the course of next week KPMG partner Richard Hill Coffee Republic in administration

Seven of the 10 outlets that have now ceased trading are in the London area.

They are Richmond; Staines; The Mall, Ealing; Canary Wharf; George Street, London; Rathbone Place, London; Great Marlborough Street, London; Northgate Street, Chester; Canterbury; and York House, Manchester.

KPMG also confirmed that another one of the 20 directly owned stores, the outlet in London's Gloucester Road, had already closed just before it was appointed.

'Trading as normal'

It said the remaining nine would trade as normal while it continued discussions with potential buyers for the company.

TEN CLOSED STORES Richmond Staines The Mall, Ealing Canary Wharf George St, London Rathbone Place, London Great Malborough St, London Northgate St, Chester Canterbury York House, Manchester

"I remain confident of achieving a sale during the course of next week," said KPMG partner Richard Hill.

Coffee Republic had directly employed 153 staff.

The chain was formed by Bobby and Sahar Hashemi, a brother and sister team, and opened its first branch in 1995 in South Molton Street, London.

Outside the UK, Coffee Republic has outlets in 10 other countries including Saudi Arabia and Bulgaria.

The UK has more branded coffee bars than anywhere else in Europe, according to the consultancy Allegra Strategies. The three biggest players are Starbucks, Costa and Caffe Nero.

KPMG has been appointed to Coffee Republic (UK), Coffee Republic Franchising and Goodbean, although holding company Coffee Republic plc is not in administration.