THE axe is hanging over staff at one of Darwen's oldest companies after it was placed into administration.

Evertaut, in Anyon Street, Darwen, manufactures office seating and is thought to employ more than 200 people.

A spokeswoman for the company said that some staff had already been made redundant as administrators moved in to take charge of the business.

She refused to reveal how many, but said that Evertaut was attempting to stay in existence. It is thought the administrators are trying to keep the company going so it can be sold as a going concern.

Ward Councillor David Foster said: "It's a significant employer in the town and it will affect considerably a number of families.

"I have lived in Darwen all my life and it has always been there. This has come as a shock. We went through a difficult time with the cotton industry but then a lot of manufacturers in Darwen had been going reasonably well and had avoided jobs losses, as in areas like Burnley.

"I gather competition in their sector is quite tough, and I heard that they were finding it difficult, but it is a shame it has come to this.

"I haven't heard anything from the company about how many jobs have gone but I hope the council is working hard to ensure it is kept going as a going concern."

Evertaut was going through the process of selling its Cross Street premises to scrap merchants Frank Barnes. It was expected to move to its other premises in the Sudell area. It is not known how going into administration will affect this.

In the past 12 months there have been many jobs cuts in the manufacturing industry in East Lancashire.

The biggest of these were the closure of Burnley's Michelin plant and cutbacks at Barnoldswick's Rolls-Royce factory, which accounted for 700 jobs.

And late last week it was announced that Burnley-based car fabric manufacturer Viktor Achter was to make 100 redundant as it closed its cut, sew and trim department, blaming the strong pound.