Administrators of failed book retail company RedGroup Retail have announced it will shut 38 stores in the next few weeks to stem the losses from the ailing group.

The closures will see more than 300 staff lose their jobs. The bulk of the stores to be shut are in Victoria (15 Angus and Robertson stores) and New South Wales (11 A&R stores and one Borders shop).

Franchised Angus & Robertson stores are not in administration and so are not under threat of closure. They are independent from the financial structure of RedGroup Retail since most order stock directly from suppliers.

However, franchisees will be anxious to know whether the Angus & Robertson brand can be saved or whether they will need to consider other options, such as becoming independent stores or joining another franchise chain in order to stay alive.

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