Bookshop is first casualty of the year

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Cash flow problems coupled with tough trading, particularly during to the bad weather before Christmas, are being blamed for the company's woes.

Administrators from recovery specialists Zolfo Cooper said the company would trade as normal and no redundancies have been announced. They said they had already received expressions of interest for the firm.

BBS, which was set up as Sussex Stationers in 1938 and is based in Brighton, has 51 shops and around 300 staff across the south of England, including in Sussex, Surrey, Essex and Hampshire.

The firm was sold to Irish booksellers Eason and Sons and offloaded again in May 2009 to private equity firm Endless, which installed a new management team.

Mark Froud, chief executive of business group Sussex Enterprise, said: "It's always sad to see established businesses such as BBS in difficulty."