The first UK Woolies store opened in Liverpool in 1909 and soon became an iconic town centre brand across Kent and the nationwide.

F W Woolworths was a subsidiary of its US parent and became popular for a wide range of useful low-priced items patronised by millions of shoppers every day.

It now operates more than 800 stores across the UK, employing 25,000 in its shops and a further 5,000 in its distribution business.

But those jobs, including hundreds across Kent and Medway, are at risk after bosses issued this chilling statement: “The boards of Woolworths plc and Entertainment UK Ltd have concluded that there is no longer any prospect of those businesses being able to operate as a going concern. Accordingly, the boards of both companies last night resolved to file petitions for administration in the High Court.”

In the 1980s, it began to separate its merchandise into clearly defined categories like entertainment, home, kids (toys and clothing) and confectionery.

In 1999, it opened its first big W store and a Woolworths General Store in 2000.

Woolworths became part of the Kingfisher Group until its demerger in 2001 and listing on the Stock Exchange as Woolworths Group plc.

It also developed E.UK, Britain’s largest wholesale distributor of home entertainment products which had been founded as Record Merchandisers in 1966, and 2 Entertain, an audio-visual publishing group.

Woolworths became E.UK’s largest customer and, in 1986, E.UK was acquired by the Kingfisher Group. It also owns the Ladybird, the childrenswear brand, and Chad Valley, the toys brand.

In its last financial statement in August, it reported that half-year like-for-like sales were down 3.2 per cent to £1.1bn and pre-tax losses of £99m. Losses have since spiralled to £385m, mainly owed to lead creditors Burdale and GMAC.

Company chairman Richard North said at the time that E.UK and 2 Entertain were performing ahead of expectations “while Woolworths Retail manifestly is not. However, the Board believes that the strength of our entertainment businesses provides a solid platform of profitability from which the turnaround of the retail business can be based.”

That forecast was not to be, as the credit crunch and economic downturn impacted on customer spending and the willingness of banks to extend credit. Creditors wanted their money back.

The Government was asked to bail out Woolies, as it had with the banks, but ministers believed the Woolworths business model was the problem.

Steve Johnson, chief executive, only joined the group a few months ago, He said at the time: “I took this job because I am convinced that there is space on the high street for a successful home-based variety store offering great value and convenience. My first weeks in the job have only reinforced that view and shown me that Woolworths has a core of strong, profitable stores, a great retail brand and many very committed people who want to succeed.”

He added: “Right now, this business does not require lots of new strategic initiatives, it requires a good dose of basic shopkeeping and attention to the detail of retailing. Everyone in Woolworths is clear that our first priority – in all parts of the Group – is delivering a successful Christmas for our customers.”

Sadly, for possibly thousands of staff, it will be a wonder if Woolies delivers anything but a grim Christmas.