[05
JAN 00] GEOFFREY ROBINSON MP NEWS
TransTec Calls In The Receivers
Receivers who have been called in to
administrate a firm formerly headed by Coventry MP Geoffrey Robinson
have reassured staff that their jobs are safe – for the immediate
future.
 Directors
of Birmingham-based TransTec plc, of which Mr Robinson was once
chairman, called in receivers Arthur Andersen after being hit hard by
costs and losses in recent years.
Robinson took charge of the company in
1991 before resigning in 1997 when he was appointed Paymaster General.
Receivers Arthur Andersen have now
undertaken a review of the company but are assuring its employees that
it will be business as usual.
A spokesman said:
"TransTec has 4,500 employees
world-wide which includes sites in the UK as well as Australia, the
US and other countries.
"We plan to keep the business
running as a going concern with all of the production lines
operating as usual.
"Because of the Christmas and
New Year break this is really only the second day that Arthur
Andersen have been at TransTec so the long-term plans will not have
been decided yet."
And the receivers believe that although
Mr Robinson with his 16% shareholding has increased the media
attention on the business, it will not affect its future.
"There are several interested
parties in TransTec and they are businessmen looking to invest, they
are sensible people and media attention will not bother them either
way.
"I think the fact that all this
came about over a holiday period meant that the factories were
closed down and the focus of attention was directed towards Mr
Robinson."
TransTec engineering group produces
aluminium castings and machined parts for automotive manufacturers,
and plastic injection mouldings for electrical goods, domestic goods
and automotive industries.
David Duggins one of the joint
receivers believes that TransTec still has great potential.
He said:
"Intense competitive pressures
in both the markets for the group’s automotive products and for
injection moulding products have created very difficult trading
conditions.
"However the group has strong
trading relationships, a good asset base and a skilled workforce.
"We shall be actively
looking for purchasers of the group’s businesses as going
concerns."
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