Thousands of jobs could be put at risk as Claire's looks set to appoint administrators for its UK and Ireland business.
The US parent firm for the fashion accessories chain said it has filed a formal notice to administrators from advisory firm Interpath.
The move raises fears over the future of its 306 stores - with 278 of these in the UK and 28 Ireland.
About 2,150 jobs are now understood to be at risk.
Administrators will seek a potential rescue deal for Claire's, which has seen sales drop in the face of recent weak consumer demand.
Its UK stores will remain open as usual and store staff will stay in their positions once administrators are appointed, the firm said.
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Will Wright, UK chief executive at Interpath,