UP TO 1,000 staff at the south Hampshire stores of Marks & Spencer have been told the news they didn't want to hear: profits are down.

The High Street company has a big presence locally with branches at WestQuay in Southampton, Hedge End, Winchester and Fareham.

Pre-tax pre-exceptional profits for the six months to October 2 fell to £292.7m, down from £325m a year ago.

Like-for-like UK sales - which ignore new store openings - fell four per cent, and M&S said recent trading had been tough.

It said: "It has become more difficult since we last updated on current trading on October 12. However, we do not believe this trend to be entirely Marks & Spencer specific."

M&S's trading statement came on the same day as a sector-wide study by the influential British Retail Consortium (BRC) and accountants KPMG showed that October's shop sales grew at their slowest pace this year.

There looks to be little good news in store for retailers in coming months, with analysts expecting a further "marked" slowdown on the High Street.

Meanwhile, M&S unveiled a major management shake-up as chief executive Stuart Rose streamlines the company.

Shares dipped slightly to just over 350p yesterday.

OUT:

Alison Reed - finance director.

Maurice Helfgott - executive director menswear, childrenswear, home.

Mark McKeon - executive director retail, international, franchise.

Laurel Powers-Freeling - chief executive of M&S Money.

Jean Tomlin - human resources director.

Jack Peterson - business unit director for home operations.

IN:

Stuart Rose - He takes responsibility for retail, merchandise, buying.

Charles Wilson - To take on systems, logistics and property responsibilities.

A new finance director.