Rental payment reports dismissed by home improvement group Focus

Home improvement chain Focus DIY sought to dispel fears over its financial health yesterday after reports that it had sought breathing space on rental payments.

By The Newsroom

Published 9th Feb 2010, 20:13 BST

Updated 9th Feb 2010, 20:13 BST

The Crewe-based business hit back after a Times article said the group had asked landlords for an extra week to pay store rents after the impact of January's snowfall, under the terms of a rescue last year.

In August Focus DIY struck a deal with landlords to save itself from administration through a company voluntary arrangement (CVA), which freed it from rent payments on 38 closed stores.

The company said yesterday: "We have paid and will continue to pay our rent commitments completely within the terms of our CVA which was fully supported by our landlords in 2009.

"Our landlords have been fully informed of our payment timetable since the CVA process was completed."

The firm said it had passed recent bank tests on its financial position with "ample headroom".

Focus has financing in place until the end of 2011.