RISING COSTS CAUSE FIRM TO CLOSE
Date : 30.09.06
Stiff overseas competition and soaring energy costs have plunged a county firm into administration.
Tanya Knitwear, which employed 62 people before making the move, has bowed to intense pressure, and it is believed has already been forced to let about 20 workers go.
Today bosses said it was a sad move for the Fiskerton company which opened its own dye house only in 2005.
However, the impact of rises in the National Minimum Wage threatened to push up its losses.
Meanwhile, it is understood that Leeds-based administrator, BWC Business Solutions, is looking at the future options for the business.
One of the firm’s directors said: “This is particularly disappointing after all the hard work we have done since our management buyout in July 2003.”
Tanya had previously been part of Leeds-based Allied Textiles since 1969. That firm itself was the subject of a management buy-out in 2000.
“Much progress had been made in expanding into new markets, but this has not been enough to protect the business against the relentless increase in volumes of cheap imports and cost pressures,” said the spokesman.
“We are the last UK knitwear-maker with its own dyeing facilities and we have been on our Fiskerton site since 1948. It really is very sad for our employees.”
WORKERS AWAIT NEWS ON BUYER
09:45 – 30 November 2006
Creditors of a troubled county knitwear firm – under the threat of closure before Christmas – were due to meet administrators today.
Tanya Knitwear’s creditors were expected to be updated on attempts to find a buyer for the Fiskerton-based business, by administrator BWC Business Solutions of Leeds.
But Tanya company secretary Nick Shaw said only a handful of staff are still working at the factory, which still employed 40 people a month ago.
Despite being based in a low-cost area, and having skilled workers and up-to-date machinery, Tanya has had an uphill battle in the face of stiff overseas competition and soaring energy costs.
Mr Shaw said: “We now have just 15 workers left and they are expected to finish the remaining orders in the next two-and-a-half weeks.
“As far as I am aware, there have been no offers for the business as a whole, but offers for parts of it are being considered by the administrator.”
Tanya has been making knitwear since 1948, and produced goods for High Street names and others under its own label. The factory was the subject of a management buy-out in 2003, led by managing director Erica Colver.
REMAINING JOBS ARE THREATENED
09:45 – 08 December 2006
Only an 11th-hour buyer could save the remaining jobs of knitwear workers at a troubled county factory, insolvency specialists have admitted.
The remaining 15 employees at Tanya Knitwear in Fiskerton will lose their jobs by the middle of this month according to Leeds-based BWC Business Solutions.
The gloomy news is another blow to the county’s manufacturing history.
Last week, 250 workers at Lincoln Castings in North Hykeham were also told they face the festive season signing on the dole.
BWC today admitted its efforts to pull Tanya out of despair and give fresh hope to workers have failed – although there is better news for creditors.
A spokesman said: “We have tried to find a buyer for the business, but to date we have been unsuccessful. So it is likely that the factory will close before Christmas.”
However, the spokesman said that Tanya has valuable equipment and it also owns the factory.
“If the business is not sold as a going concern, we will sell the equip- ment, the trading names and the property.
“Dependent on the sale of the property, I am hoping to pay all the creditors back in full,” he added.
Tanya has been making knitwear since 1948, producing goods for both High Street stores and also for sale under its own label. The factory was the subject of a management buy-out in 2003. it was led by managing director Erica Colver.