Management blamed for credit problems
Shares of home shopping retailer European Home Retail have been suspended, following the announcement in June that the company was looking for extra finance for the autumn season.
The suspension is pending the outcome of discussions about increasing peak borrowing facilities and the publication of the company's preliminary results.
Consequently, the company will not publish its accounts for the year ended April 30 within the 120 days required. Trading is in line with expectations.
However, Seymour Pierce analyst Richard Ratner said in a note to the City: 'Although, at the moment, it does not look as if the company is going broke, the blame must fall squarely on the management for trying to do too much too quickly with regard to creating a multichannel operation.'
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