Icelandic turmoil threatens High Street

LONDON, Sept. 30 (UPI) -- The Icelandic government's move to nationalize the country's third largest bank is sending repercussions through Britain's retail sector, analysts said.

Iceland took over Glitnir, which forced Icelandic businessman Jon Asgeir Johannesson to place one of his investment companies, Stodir, into receivership, The Times of London reported.

Stodir owned 32 percent of Glitnir, which accepted an $896 million cash injection as the government took it over.

Johannesson's Baugur Group is an almost $18 billion empire, comprised mainly of retail businesses, including Hamleys, Karen Millen, House of Fraser, Goldsmiths, Whistles, Oasis, and portions of Woolworths, French Connection and Debenhams, the Times said.

"What we have seen today could trigger yet another domino effect," an unnamed market analyst told the Times. "We just don't know if it will be contained in Iceland, or spill over on to the High Street," he said.