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Claire’s Accessories considers shop closures

CLAIRE’S Accessories is “considering” shop closures that would put hundreds of jobs at risk, the high street chain announced today.

The company is believed to be discussing a restructuring after admitting financial difficulties.

Claire's, which has more than 350 stores in Britain, is considering entering a company voluntary arrangement (CVA), an insolvency procedure that allows large companies to shut economically underperforming branches.

The development follows the firm’s US parent filing for bankruptcy earlier this year.

After running up $1.9 billion (£1.4bn) of debt, Claire’s gained “chapter 11” legal protection, meaning that the company was permitted to restructure itself to allow for serious losses.

In Britain, the CVA method has has been used this year by a host of high street chains, including New Look, Jamie's Italian and Mothercare, to get rid of ailing stores.

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