Heart of Midlothian Football Club (Hearts) announces today that it has signed an innovative retail franchise agreement with Sports Retail Management Limited (SRM) which will boost the club's annual commercial revenues.

The three-year agreement involves sports retail specialists SRM managing all Hearts retail operations including the club's successful online retail store at www.heartsdirect.co.uk which, in addition to the UK, receives orders from more than 48 countries worldwide annually.

The new deal will provide supporters and visitors to stores with an expanded range of Hearts products while guaranteeing income streams for the club.

Hearts director Vitalijus Vasiliauskas said: "The agreement with Sports Retail Management is an excellent example of the partnerships that we are aiming to establish with other Scottish businesses.

"This deal will provide added value for our supporters and visitors to our stores through increased product ranges and better buying power.

"The club also secures a guaranteed revenue stream with the opportunity to increase future income based on a profit share agreement.

"We also acknowledge the partnership commitment and entrepreunerial spirit of SRM and believe that we have both developed an agreement that will be beneficial to both of our businesses."

SRM director Richard Alexander said: "Working with Vitalijus Vasiliauskas and the board to achieve this positive outcome was indeed a privilege and I would like to thank Hearts for having the foresight to partner SRM in this bold new initiative.

"Already there is a sense of fresh energy and passion within the relationship. The principle objective of SRM is to generate valuable revenue for Hearts to invest in building a successful team capable of challenging for honours.

"SRM will be looking at improving and increasing the range of merchandise and will be keeping supporters regularly informed of new products, promotions, events and special offers through the online store. We will also be looking into holding fans forums and listening to important feedback.

"I have a long history with Hearts having managed the store a number of years ago and I am really excited to be back at Hearts, meeting with the retail staff and with friends old and new."

SRM product development director Steve Henderson added: "Having been associated with Hearts as a supplier for over 20 years I am eagerly looking forward to working on a daily basis to help build and develop the retail operation. SRM will bring a new shopping experience - good for Hearts, the fans and for the wider community."

All of Hearts existing 12 retail staff will be transferred to the new business.

The first major launch under the new agreement will be the release of Hearts keenly awaited home kit which will be revealed in the next few days.