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Debenhams ahead despite sales dip

Debenhams statement - Sales fell 3.6%
Debenhams statement - Sales fell 3.6%

British department store chain Debenhams says it will create 1,200 jobs in the UK by the end of 2010.

The retailer, which has 153 stores in the UK and Ireland, said it planned to open eight new outlets in the next 18 months.

In a trading statement, Debenhams also announced that like-for-like sales declined 3.6% in the first half of its financial year and warned that trading would 'remain challenging'. Like-for-like sales strip out the effects of new stores.

Debenhams said strong sales of its designer wear and own bought ranges would help push profits for the 26 weeks to February 28 up to £94m, which was up on a year earlier.

Chief executive Rob Templeman said the firm was pleased with its results 'given the extremely difficult trading conditions'.

Debenhams said it had this month acquired stock, fixtures and fittings from the administrators of womenswear chain Principles, as well as a licence to trade the brand.

The company did not break down any details of its Irish performance.