Home Retail Group has seen its profits slashed by a quarter, as the recession hits its Argos and Homebase brands.
Profits at the group fell to £328m for the year to February 28th. However, the group recorded a loss of £402m due to write downs of £694m and what it described as 'onerous' lease charges.
Total group sales fell to £5.9bn, with like for like sales at Argos falling by 4.8 per cent. Gross profit margins at the retailer were also heavily hit, down 100 points.