Lancashire retail giant Booths has been forced to call in accountants for a review.
Royal Bank of Scotland and HSBC have drafted in Grant Thornton to conduct an independent bank review of the business, which operates 28 stores across the north of England.
As previously reported, Booths has suffered a difficult 18 months.
The company has blamed many of its problems on Storm Desmond, which severely damaged stores in Cumbria.
Edwin Booth, Executive Chairman and CEO, said: “Booths is a resilient 170-year-old family owned retailer with strong brand loyalty and leadership in place.
“These are turbulent times for the retail industry, which is rife with conjecture and speculation. We have an effective plan and team in place to ensure Booths remains a much loved retailer for our customers here in the North.
“We’re focusing on delivering the best service, products and value to our customers.”
The company was founded in Blackpool in 1847.