HMV warning as sales tumble

HMV faces an uncertain future as its sales continue to fall. The company is in discussions with the banks over concerns their loan terms may not be met.

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Entertainment buyers keep keen eye on online prices

Other responses to ITV News Business Editor Laura Kuenssberg suggest people retain a keen eye on online prices before deciding whether to buy in-store.

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@itvlaurak we buy online from hmv as its cheaper than going in there shop

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@itvlaurak I browse in there but only rarely buy. Even their sales prices are beaten by Play, Amazon, AND EVEN http://t.co/b0ox6sOn !!!

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@itvlaurak Again #HMV Is Too Pricey & An High Street Dying Breed :/ Ppl Only Go If They Need That #Christmas Present Or Present NOW :/

Appetite to buy CDs and DVDs on High Street remains

Despite HMV's financial woes, a straw poll of Twitter users appears there is still an appetite for a place where customers can physically browse CDs and DVDs.

Responding to ITV News Business Editor Laura Kuenssberg's question if people still shopped in HMV rather than bought online, people replied:

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@itvlaurak Sometimes it's just nice to browse in a real place. Instant gratification (no waiting on the post).

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@itvlaurak combination of convenience and price - would rather buy digital copy, but HMV's DVDs are cheaper!

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@itvlaurak occasionally when home as i have an old car with a CD player. Nice to have new songs. Otherwise it's all iTunes.

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HMV under threat following poor Christmas sales

HMV's 238 stores could be under threat following lower sales than expected Credit: Anna Gowthorpe/PA Wire

HMV's new boss today warned the entertainment group is in talks with banks over its future following worse-than-expected trading in the run-up to Christmas.

Chief executive Trevor Moore warned that current market conditions suggest the group will not meet expectations for the year to April.

As a result, the terms of its bank loans are not likely to be met in January and April, placing the future of the 238-strong chain under threat.

Like-for-like sales fell 10.2% in the six months to October 27 as its pre-tax loss narrowed to £36.1 million, compared to £50.1 million the previous year.