TUNNOCK, the family-owned biscuit manufacturers based in Uddingston,
Lanarkshire, yesterday announced the closure of its bakery division with
the loss of 108 jobs.
The closure, will takes effect in three months' time, will also mean
the end of the company's two shops and tearoom in Uddingston and
Bothwell. The delivery arm of the bakery business will also be closed.
The biscuits division, which accounts for 90% of Tunnock's #23m annual
turnover, will not be affected. The bakery division accounted for only
about 6%. Tunnock currently employs 700 people.
Mr Boyd Tunnock, chairman, managing director, and grandson of the
company founder Thomas Tunnock, said: ''We are naturally very, very
sorry to have to make such a decision.
''However, our bakery division has been running at a loss for some
time now and this trend has been exacerbated by the growth in the number
of in-store supermarket bakeries operating seven days a week.
''Concentrating all our energies on the biscuits division will allow
us to develop this core business more fully.
''We already export biscuits to 28 countries including Saudi Arabia
and Japan and supply most of the major multiples including Sainsbury,
Tesco, Asda, and Safeway. We are keen to develop this business to ensure
the future success of the company,'' Mr Tunnock said.
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