MORE than 50 jobs are at risk in the region after electricals group Dixons announced plans to close a third of its branches.
Among the 106 high street stores due to be closed are four in the region. They are in Durham, Redcar, Stockton and at the Monks Cross development, in York.
The 53 workers may be re-deployed at the Dixon Group's other stores, which include PC World, Currys and The Link, but many could lose their jobs.
The group announced plans to reduce its high street presence by a third following disappointing sales from its Dixons division.
The smaller stores are the ones to close, while the group will be left with 214 larger branches.
It is currently trying out new formats, including out-of-town outlets.
Dixons shares rose yesterday as the group reassured investors that results for the year to May 1 would be in line with hopes. Analysts are looking for underlying profits of £325m after last year's figure fell to £278.6m.
While the performance of the Dixons chain was disappointing, the group said overall UK sales were ahead five per cent, with the like-for-like figure two per cent stronger.
Costs from the closure programme, which is due to take three months, will reduce the company's bottom-line profits figure in June by £48m.
Chief executive John Clare said: "Following a prolonged period of disappointing trading in our smaller Dixons stores, we have decided to close operations in 106 locations. We expect to redeploy a significant number of affected employees elsewhere."
It is thought that while many of the stores were breaking even, they made losses after taking central costs into account.
The company has been piloting Dixons XL at Cardiff, Swansea, Hull and the Bullring in Birmingham.
Comments: Our rules
We want our comments to be a lively and valuable part of our community - a place where readers can debate and engage with the most important local issues. The ability to comment on our stories is a privilege, not a right, however, and that privilege may be withdrawn if it is abused or misused.
Please report any comments that break our rules.
Read the rules hereComments are closed on this article