Following news that the distribution company has entered administration this week, managing director Geoff Hounslea comments on the situation.
A statement released by Mr Hounslea reads:

"The company has been hit by the weakness of the pound against the euro and the dollar, increases in transport costs and a slowdown in one of our key markets.

Additionally the disruption and costs associated with the flooding of our premises last year did nothing to help a worsening financial situation. Sadly, and despite the commitment of our staff, we can no longer continue trading."

Administrators Begbies Traynor are exploring all avenues including selling the company as a going concern.

As reported, the majority of staff have been made redundant, although the company is still trading in administration with the assistance of some of the Austin White personnel.

The slowdown of the housewares market this year has most affected the company's performance. A strategic move earlier this year into Austin White branded products went some way to counter the reduced orders in this sector but, according to Hounslea "the die was cast by then, it was already an uphill struggle made worse by the exchange rates."

For further details contact Begbies Traynor on 0161 837 1700.