THERE are new fears for jobs at music giant EMI's Swindon compact disc pressings factory, where about 200 people are employed, after the company posted a dramatic drop in half-year profits.

Falling CD sales hit the company hardest, in spite of having such artists as the Beatles and Robbie Williams on its books.

Half-year turnover was £1.07 billion, down on last year's £1.14 billion, and, stripping out one-off charges, operating profits slumped from £110.9 million to £43.1 million, while bottom-line losses widened from £9.7 million to £65.6 million.

Chairman Eric Nicoli said more job losses across the London-based group which employs around 10,000 people are possible, although he refused to discuss details.

Mr Nicoli said trading during September was "totally awful" after the US terror attacks hurt an already fragile market.

But he added: "October was still soft but better than September.

"It is still early days, but November is looking like it's on track."

"The final result will depend critically on market trends, which have shown some deterioration in the past two months."