business from its real estate assets, said the company's general manager.

"The split is a business trend separating operations from property,'' said Mr. Rod Ferguson, also a director of Gorham's.

Other Bermuda retail establishments have made similar moves, he said.

The two companies -- Gorham's Ltd. which will hold the operations and merchandise, and Pamplemousse Ltd. which will have the property and St. John's Road buildings as assets -- will continue with the same shareholders, he said.

In connection with the split, Gorham's set up Casper Ltd. a temporary holding company which will later cease to exist.

Directors and shareholders made the decision to split the property from the operating business earlier this year, said Mr. Ferguson.

Staffing and day to day business will continue as usual, he said.