Pressure on HoF to step up recovery

HOUSE of Fraser boss John Coleman is coming under increasing pressure to improve sales after a series of disappointments. Several fund managers with sizeable shareholdings are frustrated with the pace of recovery.

'It has a pretty chequered record and the management have a history of not delivering on their promises,' said one.

Shares have slumped to 62p - the lowest in nearly two years. Coleman, who became chief executive in 1996, can claim some credit for revamping stores and developing the brands. But the rewards have been slow to come through with some disappointing setbacks.

Some suspect chairman Michael Wemms is pushing for more radical action. Insiders denied rumours of a bust-up between Wemms and Coleman, but colleagues say the two have never been close.

'They start the year in an optimistic mode, but we are always having to downgrade our profit forecasts before the results come out,' said one analyst.

One fund manager, however, said that Coleman is a 'safe pair of hands.' He blamed a poor store portfolio and lack of investment over the past decade. Either way, the shares look likely to remain lowly rated. One bright spot is the yield - almost 9%.