Newcastle Productions, which produces and distributes Findus the Fisherman fish fingers, fish pies and tuna pasta bakes in the United Kingdom, among other frozen food products, said yesterday it is fighting to save its employees' jobs.
The Longbenton, Newcastle, company went into administration last week, explaining that it has been hit hard by the global credit crunch and is experiencing cash flow difficulties, according to various news reports.
The company, which employs 420 workers, has been closed since Jan. 6 due to a fire.
"I am very hopeful that many of the employees will be able to re-apply for their jobs," says Vidar Engen, Newcastle's managing director.
"This was a very good factory and I think there will be interest from companies wanting to take it over," Engen adds. "We had to make people redundant because the damage from the fire was so bad there is no hope of any income for several weeks and maybe longer. We are still talking with the insurers about what they can do. It has been a tough few days for all of our staff, but I hope many of them could be back working here at some point."
Newcastle has retained administrators Zolfo Cooper to search for potential buyers. Banks that lend money on a secured basis retain the right to call in a receiver, or an administrator, to sort out a company's assets and look after its interests.
"We have been encouraged by the level of interest shown by prospective purchasers of Newcastle Production at this early stage of the process, and we are continuing to explore all options for the business," says Simon Wilson of Zolfo Cooper. "We remain confident that a sale can be achieved."
