More than 100 jobs lost but eight Aulds stores to stay open
6 September 2018, 11:30
More than 100 jobs have been lost but eight stores are to remain open after bakery Aulds put its retail business into liquidation.
A total of 18 stores have been closed and 105 jobs lost since the family-owned bakery announced it was in a "unsustainable loss-making position" last month.
Eight shops in the west of Scotland will remain open along with Aulds administration and distribution headquarters in Greenock, maintaining 75 jobs, the company said.
Joint liquidators from RSM Restructuring Advisory were appointed to the group's retail arm, Thomas Auld & Sons Limited, in early August, and formally closed that business on Wednesday.
The company said it faced difficulties with increasing ingredient, distribution and wage costs over several years.
The group reported a loss of £430,000 on a turnover of £15.4 million in the year to April 1 2017. Turnover increased from £15.2 million the previous year.
Alan Marr, managing director of Aulds and a fourth-generation descendant of founder Thomas Auld, said: "It goes without saying that we deeply regret the jobs lost and do not underestimate the impact that will have on the individuals involved and their families.
"We only embarked on this course of action after exhausting every other possibility, but we were simply unable to sustain the losses being made by the retail business.
"We're extremely pleased that we've been able to preserve 75 roles as part of this process and keep the Aulds brand on the high street. The response and support from our customers has been very encouraging and we'd like to thank them for their loyalty during a difficult period for our business."
The stores remaining open are in The Piazza in Paisley, St Enoch Centre in Glasgow, Hamilton Way, Brisbane Street and West Stewart Street in Greenock, Kempock Street in Gourock, High Street in Johnstone and Aitken Street in Largs.
Aulds will also continue to operate its two other subsidiary companies, Aulds Bakeries Limited, which manufactures fresh and frozen bakery, and Aulds Delicious Desserts, which has a manufacturing facility at Inchinnan. Around 200 jobs at those sites have not been affected.
Paul Dounis, joint liquidator, said: "This deal represents the best deal for customers and creditors of Aulds, and we're grateful to staff and customers for their understanding over the last few weeks."