British housebuilder Redrow has reported a massive slump in profits - almost half in the last year.

The group has taken an exceptional provision of £259.4m, which has left the group with a pre-tax loss of £193.9m. It has also slashed its workforce by 40% since the beginning of this year.

Redrow has also secured a new £450m three-year debt facility.


Alan Bowkett, Chairman of Redrow, said: "In these unprecedented market conditions we have moved quickly to prioritise cash flow and the reduction of cost. The land market has fallen significantly during the last 12 months. We have prudently reviewed all our land holdings and the balance sheet and net assets per share properly reflect this reduction in market values.

"We have secured new banking facilities in line with our timetable. This, together with the decisive actions we have taken, will enable our experienced team to manage the business effectively through these exceptional markets."

(CD/NS)