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High St Giants Hit By The Crunch

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TOP British High Street stores — including MFI — were on the brink of collapse last night after being devastated by the mounting credit crisis. The furniture giant, which employs 10,000 staff, has failed in eleventh hour bids to find a buyer, forge a merger or win extra finance.

Experts predict it could fold next week. But as sales dive across the High Street other well-known names are also struggling to stay afloat.

mfiembed_380x223_598659a.jpgCrisis ... MFI employ 10,000 people

Curtains and furnishings firm ROSEBYS went into administration yesterday. Two thousand jobs are at risk unless it finds a buyer.

Savile Row tailor and former dressmaker to the Queen HARDY AMIES suspended shares and said it may also go into administration.

And banking giant HSBC announced a worldwide cull of 1,100 jobs, around 500 in the UK.

MFI's downfall follows a profit collapse as budgeting customers stopped buying kitchens, bedrooms, bathrooms and sofas.

Its owner, Merchant Equity Partners, has been holding talks with potential partners and has also unsuccessfully tried to acquire capital from private equity firms and hedge funds.

An MFI source said: "The sharks are circling."

JOHN LEWIS has also given the City a shock.

Sales fell by 5.6 per cent in the week to September 20, while its grocery chain Waitrose saw sales growth grind to a halt. Its home division had a 14 per cent dip in sales.

JJB SPORTS reported a loss of £9.7million in the six months to July 27, against a profit of £8.3million a year earlier.

And LAND ROVER has axed its night shift due to a drop in global sales.

It affects 1,000 workers at the firm's Solihull plant.

SNN2708GX2-682_598658a.jpg Money meltdown ... High Street hit hard

There are going to be lots of horror stories played out over this world-wide financial disaster. I have lost 25% of my net worth because of the collapse of Lehman Brothers and the sharp downturn in the financial market. But at least I still have enough funds so that life is comfortable. Think of the thousands of people who are being thrown out of work. Hard times for a lot of people, not just the high end stores.

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well i had a friend last week who lost his Job with Lehman, and another friend who works high up in MFI..... maybe not anymore

Made For Idiots.

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