The High Court has appointed an examiner for Irish home improvement store chain, B&Q Ireland Ltd after its parent company said in a letter that the business is not sustainable the level of support needed is not feasible.

B&Q Ireland, which owns 9 home improvement stores and employs 690 people, will have to take significant decisions like closing down stores in order to become sustainable again. Mr Justice Peter Kelly has pointed out that the company's two stores in Athlone and Waterford will have to be closed as part of the cost cutting proposal and this would result in a loss of 92 jobs.

The company is also looking to renegotiate the terms of the rent for its stores because it is believed to paying extraordinary level of rents for its stores. The company churns out a whooping _11.6 million a year as rent for the nine stores, which is allegedly about _5.8 million above market rates.

Declan McDonald had been appointed as the interim examiner in the previous month. He has expressed optimism over receiving expressions of interest by four potential investors as well as Kingfisher plc, which is the parent company of the chain. Kingfisher has hinted that it would be ready to back the company through examinership process and also provide additional investment subject to meeting certain conditions like successful negotiation of a survival scheme and the implementation of a cut cutting plan.