HMV has reported a 20% fall in its profits, and has warned that current trading remains "challenging". That, of course, comes as no real surprise, given previous statements from the book and music retailer. As previously reported, increased competition from the supermarkets and mail order etailers continues to make times hard for traditional retailers like HMV. Among the company's plans to try and rectify that is a new pricing structure, which will see many CDs come down in price by 10%.
HMV also announced it will properly merge its books company Waterstones with the recently acquired Ottakers which means that, while not that many of the combined group's stores will close, the Ottakers brand will disappear from the high street.