Wednesday 8th February 2012 12.41am
Post your Events Northumberland Food Company Ceases Trading
Frozen food manufacturer Northumberland Foods Limited in Amble near Morpeth has ceased trading with the loss of 250 jobs in the town.
Joint Administrators from Begbies Traynor were appointed earlier this week, (18 August 2010). Advanced negotiations were underway with a potential purchaser, however, despite the best efforts of all parties involved, the deal failed.
The Joint Administrator said: “Though the company was loss making and facing cash flow problems, we have been working hard to secure a sale to an interested party which would have rescued the company and saved the entire workforce.
“Unfortunately, despite the hard work and commitment of all concerned, this has not proved possible with negotiations failing at the eleventh hour. Given the lack of interested parties and the company’s substantial funding requirement in order to continue trading, we have been left with no alternative but for the company to cease trading immediately.”
Representatives from Job Centre Plus will be on site to offer advice to employees.
Northumberland Foods Limited manufactures frozen own label potato products and supplies retail customers including Tesco, Sainsbury’s and Iceland as well as the food service sector. Established in 2008 following a management buyout of Cheviot Foods, it had a turnover of £20m last year and is known as an innovator within the frozen food industry.
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