Loss-making Ford dealership Finglas Motors last night announced plans to restructure the business and shed jobs, but denied it was going to close down.

The company, one of Ireland's largest independent Ford dealerships, posted losses of €9.4 million last year after writing off debts from its business software business RNH solutions, accounts filed to the companies office showed earlier this week.

"Arising out of difficulties in the computer division, the company is going through a restructuring process," Finglas Motors announced in a statement yesterday. "Unfortunately, the process will also involve rationalising staff numbers."

The reorganisation will include reducing the size of the business to focus solely on the Ford franchise, the 30-year-old company said. However, the dealership declined to comment on whether it plans to sell its computer division or on how many of the 120 jobs will be lost.

Finglas Motors is currently in talks with staff who will be affected by the "rationalisation" about the extent of the job losses, the company said.

"These measures are designed to ensure that Finglas Motors remains viable and returns to profitability as soon as possible," the dealership said.

"In light of recent media reports, Finglas Motors wishes to make it clear that the company is not - and will not be - going out of business."

Accounts filed by the company showed that, while Finglas Motors recorded an operating profit of €936,000 in the year to last October, earnings were obliterated by an exceptional charge of €10.4 million.

In a note to the accounts, the group said it had refinanced its borrowings during the year and had written off debts owed to it by its parent Bronndubh Ltd and from RNH as they were considered irrecoverable.

inglas Motors, which claims to have the largest indoor used car showroom in the country, was bought by former GE Capital executive Enda O'Connor in 1998. Mr O'Connor expanded the company by adding Saab, Kia, Citroen and Seat franchises to the original Ford dealership.