Panmure Gordon is reviewing forecasts for JJB Sports following the group's downbeat trading update and outlook statement Thursday."Continued difficult trading conditions" have prompted the sports retailer to report that it will likely breach certain financial covenants when they are next tested in January 2011.The statement did not come as a surprise to Panmure Gordon, which highlighted concerns about trading conditions in its morning note last week, "mainly related to intensification of competition".Like-for-like sales remain below the company's expectations as it added adverse weather conditions to the list of risks to trading."Future financing of the business is now in question and we therefore expect the shares to be very weak today", says analyst Jean Roche as the covenant breach/funding shortfall has led the company to explore further business restructuring options and consider alternative sources of finance.The broker's forecasts, the target price of 6.50p, along with its 'hold' rating, have been placed under review.