JJB Sports, the struggling sportswear retailer, said it was continuing to hold "constructive discussions" with its debt providers, Barclays Bank, HBOS and Kaupthing.

JJB Sports, the struggling sportswear retailer, said it was continuing to hold "constructive discussions" with its debt providers, Barclays Bank, HBOS and Kaupthing.

JJB, which in September issued a profit warning and said it might breach its bank loan agreements, said yesterday that the banks "remain supportive" and that talks on the sale of non-core assets were continuing.

JJB's statement was issued in response to a halving in its share price since Monday. Over the last year the stock has slumped by 91%.

The retailer has a £60m loan facility with Barclays and a £15m facility with HBOS. It also has a £20m bridging loan with Kaupthing that is due to be repaid at the end of the month.

Barclays has appointed Grant Thornton to advise on JJB's business plans.

Last Friday, JJB sold four stores to rival Sports Direct, raising £3.4m.

JJB, which has appointed Lazard as its joint financial adviser, also said yesterday that talks were continuing regarding the possible disposal of its fitness clubs and other non-core assets.

Dave Whelan, JJB's founder who last year sold his family's 29% stake in the business to chief executive Chris Ronnie, has made an approach for the fitness clubs.

JJB said it still planned to update on trading on December 10.

Sports Direct has a 22% stake in JJB, while another rival JD Sports holds 10%.