KPMG receivers appointed to papermaker

KPMG receivers appointed to papermaker

Difficult trading conditions blamed for Scottish company's demise

Receivers from KPMG have stepped in at Smith Anderson & Company, the
Scottish papermaker.

The company has suffered from difficult trading conditions, and also
blamed rising energy markets which pushed up UK gas and electricity prices for
its failure.

Blair Nimmo and Tony Friar were appointed as joint receivers on Friday last
week (16 June) at the request of the company’s directors.

Smith Anderson & Company is a wholly owned subsidiary of the Smith
Anderson Group, one of Scotland’s oldest manufacturing companies, and had its
papermaking operation based at Fettykil Mills in Leslie in Fife.

Directors had implemented a restructuring plan last year that involved the
closure of one papermaking machine and the loss of 70 jobs, but despite this,
the papermaking operation become unsustainable.

Nimmo said the receivership had resulted in the closure of the two remaining
paper machines on the Leslie site.

‘The current financial situation means that we have no option but to make 106
redundancies with immediate effect, with the exception of the Securecycle waste
collection division, the papermaking business has effectively now ceased to
trade,’ he added.

Related Articles

Carillion CFO blew whistle over 'sloppy accounting' months before collapse

Business Recovery Carillion CFO blew whistle over 'sloppy accounting' months before collapse

4m Alia Shoaib, Reporter
Toys R Us UK and Maplin enter into administration after failing to secure buyers

Business Recovery Toys R Us UK and Maplin enter into administration after failing to secure buyers

4m Alia Shoaib, Reporter
How to avoid a Carillion collapse

Business Recovery How to avoid a Carillion collapse

5m Russell-Cooke
Carillion collapse: The week so far and industry reaction

Business Recovery Carillion collapse: The week so far and industry reaction

5m Emma Smith, Managing Editor
Kingston Smith & Partners appointed trustees in bankruptcy of ex-Newcastle United footballer

Business Recovery Kingston Smith & Partners appointed trustees in bankruptcy of ex-Newcastle United footballer

5m Emma Smith, Managing Editor
Carillion: PwC appointed as special managers – what happens now?

Business Recovery Carillion: PwC appointed as special managers – what happens now?

5m Emma Smith, Managing Editor
Investment firm acquires Avon Steel Company Limited

Business Recovery Investment firm acquires Avon Steel Company Limited

6m Emma Smith, Managing Editor
Manchester law firm enters into administration

Business Recovery Manchester law firm enters into administration

6m Emma Smith, Managing Editor