U.K.'s Topps Tiles Sees Sales Plunge

London, England, Sept. 24, 2008--Tile retailer Topps Tiles, the largest tile and wood specialist in the U.K., has renegotiated its banking covenants after sales tumbled by more than 13 percent in the last eight weeks.

The company said that it expects to report that overall revenue for the 52 week period will be flat at about $386 million.

The board expects operating profit for the 52-week period to be within the range of analyst estimates.

Topps added it has renegotiated its current loan facility, including a relaxation of both covenants associated with the debt and an extension to January 2012.

"Whilst we do not expect there to be any short term change to these trading conditions, we continue to have strong foundations and a sound business model which will see the business through this particular phase of the economic cycle," CEO Matt Williams said.