Home decorating group Wigoders has announced a dramatic restructuring that will see the group retain only five of its 17 stores.

Pressure from large scale DIY outlets has put the squeeze on many of the group's stores in Dublin and elsewhere. "Increased overheads such as insurance, rents and service charges coupled with intensified competition in our sector have result in some shops becoming non-viable," the company said in a statement.

One of the first stores to close will be the group's landmark Capel Street outlet in Dublin, which it owns.

The premises have been sold and the store will shut by the end of May. Leases on the Longford and Mullingar stores have also been sold and these will close in May and July.

The group closing branches in Tallaght and Coolock in Dublin, Carlow, Newbridge, Bray, Clonmel, Limerick, Tralee and Waterford.

It will retain only its Long Mile Road headquarters outlet in Dublin, stores in Kilkenny, Tullamore and Wexford and a franchise operation in Ennis.

About 50 full and part-time staff will lose their jobs in the restructuring.

The company said it was acting now to protect the future of the company's successful outlets.

"The decision to close some of our stores has naturally not been an easy one," said director Mr Chris Wojnar.

The company has been in business since the 1800s.

A spokeswoman said the company had made efforts to adapt to a changing market but had failed.

"We saw the changes coming with the arrival of the superstores and have changed our offering to meet it but we simply could not compete," she said.

She said the DIY sector had become increasingly competitive despite buoyant spending in the area.

Wigoders is owned by Fletcher and Phillipson Ltd.

The most recent accounts for that group filed at Companies Office show it plunged into the red in 2002.

The group reported a €220,226 loss compared to a profit of €99,864 in 2001. Sales fell almost 15 per cent to €2.85 million.