UK: Textile Machinery Company Closes Down, 300 Lose Jobs
A UK textile machinery company has closed down its Yorkshire factory with the loss of more than 300 jobs.
Crosrol, which is based at Halifax in West Yorkshire and which makes carding machines and other textile machinery, has gone into receivership.
The company has gone into liquidation less than a year after its founder, Andre Varga, died. It was the last remaining maker of spinning room equipment in the UK.
Talks are being held with unions and customers, while staff are being called to a series of meetings. The firm employs more than 300 staff and it is understood that all, including managing director Mr Paul Jackson, are now out of a job.
The company is being run by administrative receivers from KPMG Corporate Recovery in Leeds, who are fighting to see what can be salvaged from the wreckage of the Queen's Award winning firm.
Crosrol exports more than 99 per cent of its production - a fact which seems to have been at the heart of its downfall. The company has seen its sales suffer through the strong pound against major competitors in Germany and other European countries.
It has also been affected by problems in its major markets in the Far East, including a downturn in the Asian economies and continued poor relations between India and Pakistan
Joint administrative receivers Mr Peter Terry and Mr Julian Whale are trying to find a buyer for the company.
They said its problems stemmed from an intensely competitive market, as well as the strength of sterling.
By Clive Hinchliffe
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