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Last Updated: Wednesday December 24 2008 19:46 GMT

Zavvi stores face closure

Zavvi store sign

The music, DVD and games chain Zavvi could go out of business because of big money problems.

Zavvi's bosses say the company is having problems buying new stock to sell which means a lot of cash is being lost.

Zavvi stores won't close right away though. They're hoping to open as normal on Boxing Day for the post Christmas sale.

Now business experts have been put in charge of the company to help it out.

The troubled store has been badly affected by the closure of Woolworths. That's because Zavvi's main supplier was a company owned by Woolworths which went bust last month.

Who are Zavvi?
Zavvi has 125 stores, including 11 in Ireland.
Zavvi employs over three thousand people.
Zavvi is the largest entertainment retailer in the UK.

It's thought over three thousand jobs could be lost but it's hoped some of those jobs will be saved if parts of the company can be sold to new owners.


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