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Date: Tuesday 12 Dec 2006

LONDON (ShareCast) - Department store group Debenhams has warned that trading remains difficult as sales have worsened over the last few weeks.

The group said total sales in the current financial year to date rose 5.7% compared with the same period last year while like-for-like sales dropped 4.7% in the same period.

That compares with a statement released in October that said total sales for the first seven weeks of the current year rose 7.0% while like-for-like sales were down 4.2%.

Debenhams will be hoping that a late Christmas rush will see it turn a corner as the period remains the most lucrative for retailers.

“The remaining weeks of December and the early January period are some of the biggest of the year and as such can have a significant impact on underlying sales growth,” said chairman John Lovering.