ADMINISTRATORS have been appointed to look at the financial restructuring of Ravenhead Glass with a view to helping the company recover from present financial difficulties.
Administrators Begbies Traynor, who specialise in financial restruction and recovery have met with union representatives to explain the situation.
The company, which was founded in 1842, manufactures tumblers and stemware for the licensed trade, retail and export markets. It was bought in 1993 by the Belgian glassmaker Durobor SA and although the UK component of Ravenhead's business is strong -- particularly in the licensed trade -- the strength of sterling has placed increasing pressure on the business in its export markets, notably in Europe.
These difficulties have resulted in the appointment of the administrators, Ron Robinson and Paul Stanley, of corporate recovery specialists, Begbies Traynor.
Ron Robinson, said: "With 330 employees, Ravenhead is an important employer in the region, and the skilled workforce has a high reputation not only in this country, but abroad.
"The underlying business is sound and, with some restructuring, particularly on the export side, we are very hopeful that we will be able to rescue the business and return it to stability with a sound future."
The Manufacturing, Science and Finance Union, which represents the staff employees, are concerned that the administators have been called in.
But Debbie Brannan, MSF regional officer, added: "The impression and assurances we have been given by the company, is that every opportunity will be considered in trying to sort out the current financial difficulties. Indeed, the actions already taken by calling in the administrators demonstrates the acceptance that there are problems and a willingness to turn the company around. We will work with Ravenhead Glass to avoid redundancies and assist where possible to ensure the company turns the corner into financial stability and hopefully growth."
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