Published: Friday, 15th January, 2010 11:38am
Proposed buyer emerges for Ballantyne's
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AMERICAN clothes firm Brooks Brothers have emerged as the frontrunner to take over at JJ & HB Cashmere Mills in Innerleithen.
However the fate of the company's 176 workers still remains hanging by a thread.
Brooks Brothers, one of America's oldest retailers, already owns a 25 per cent share in the business, and uses the factory as its main cashmere knitwear supplier.
However, the US firm is seeking assurances from the Scottish Government that Scotland's beleagured manufacturing and textile sector will be given adequate support before any offer is made.
Last week joint administrator James Stephen cited "difficult trading conditions" affecting the retail sector, as the reason behind the firm entering administration.
Scottish textiles exports have fallen by over 10 per cent in recent months as a consequence of the economic downturn.
And many Borders textile companies have full order books but are experiencing severe problems in securing export insurance and essential credit facilities.
Funding for training and skills development has also come under severe pressure.
Local MSP Jeremy Purvis has met with administrators several times this week in an attempt to secure a way forward for the company, one of Scotland's oldest cashmere manufacturers.
He said: "Talks are proving difficult and the challenge of finding a buyer for the firm as a going concern is significant. This sector desperately needs more support from the Scottish Government so as to make the company's sale more attractive to buyers.
"I've been doing my utmost for the past week meeting with the relevant parties concerned to secure a positive future for the mill. It will be an absolute tragedy for the local area if it is lost.
"In terms of the region I equate it to a Glasgow-based company closing with the loss of 2,500 jobs.
"Every effort must be made to ensure its future."
This view is echoed by local councillor Gavin Logan, who said: "If the mill was to close it would be a complete disaster for Innerleithen.
"These highly skilled jobs must be preserved and I hope a buyer can be found."
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annoymous
(Unregistered User)
Jan 21 10 00:57
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Not likely now 132 workers have been made redundant! Thank you so much! and i am one of them! and so many others! Brooks will never get the same quality knitwear anywhere else! As for Ballantynes retaining 40? You are nothing without the rest of us! Hope you die a slow death! Good will to all how were payed off today!X
Ex Worker
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Jan 21 10 05:42
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With over 30 years service at Ballantynes, the way management have treated us is nothing short of disgusting, it is through management incompetence that we found ourselves in this position in the first place, I have lost count of the number of times that we had to bail them out through their mistakes, still with only the few "Chosen Ones" left the truth will come out eventually.
Just wonder how long it will be for the management to repay all the money which they have taken from our wages in pension contributions but have kept to themselves, and the Tax & Insurance, there is a word for that & I do not need to spell it out.
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