A MANAGEMENT buyout has saved 150 jobs and secured the future of one of the largest furniture retailers in the North-East.

DP Furniture Express plunged into administration last month, closing ten of its 32 stores, due to the pressures of a deteriorating retail market and a curb in consumer spending.

The Sunderland-based company, formerly known as Durham Pine, was taken over by administrators Price- waterhouseCoopers (PwC), which yesterday announced it had been bought for an undisclosed sum.

Joint administrators Ian Green and Ian Stokoe said they had completed the sale of the business to new company Smallharl Ltd by a management buyout team led by the former managing director of DP, John Hood. The move has safeguarded 150 jobs.

Since going into administration on October 17, ten DP stores have closed with the loss of 50 jobs. Two stores were shut in the North-East - at the Team Valley retail park, in Gateshead, and the Milburngate Shopping Centre, Durham - with the loss of eight jobs.

Mr Hood, managing director of Smallharl, said: "We are delighted to have been successful in being able to acquire the business from administration and to have saved so many jobs.

"The hard work, camaraderie, determination and spirit of the people left in this business, doing exceptional things to look after the consumers, during the administration has been inspiring to say the least and it certainly augurs well for the future."

Any customers who are concerned about orders are advised to contact their local store.

"We should be able to supply any customers who have lost money with their original product choice or something of equitable value in due course, at no cost to them personally," said Mr Hood.

"The profile of the business will remain largely unchanged in the short-term while we consolidate, but we do have some exciting developments planned both internally and externally."

Durham Pine was founded by former chief executive John Marshall 21 years ago.

A spokesman for PwC said yesterday that Mr Marshall is not a director of the new company and would not be involved in the day-to-day running of the business.

"There are ongoing cordial discussions taking place between the directors and John Marshall to ascertain whether the new business can make use of his considerable experience and expertise."

The DP group is made up of DP Furniture Express Limited, Durham Pine Limited, DP Wholesale Limited, Spinco Limited and Durham Pine Franchising Limited.