<p>Virgin Megastore France, hit by a collapse in CD and DVD sales, is set to file for bankruptcy, threatening 1000 jobs across 26 Virgin-branded stores in France.<br /><br />Union sources said on Tuesday that company officials would lodge a formal request with a Paris commercial court on Wednesday, which will then decide whether the company should be sold, liquidated, or put into administration.<br /><br />The decision came at the end of two days of talks between management and unions, who had also protested the group's threatened closure to France's Culture Minister.<br /><br />Virgin France is currently owned by private equity firm Butler Capital Partners, which bought a majority stake in 2007 from French media-to-aerospace group Lagardere which had bought the chain from billionaire founder Richard Branson in 2001.<br /><br />Unions are expected to protest outside the company's flagship store on Wednesday.</p>
