Peters Bakery goes into administration
Peters Bakery, the Durham-based bakery retailer, has collapsed into administration putting 400 jobs at risk. The company called in administrators earlier this week blaming a tough retail environment and rising commodity prices for its failure.
Established 46 years ago, the family run company has a turnover of more than £12 million and operates a network of 58 stores across the North East of England. It also has contracts with a number of leading supermarkets and a direct mobile sales operation.
Peters will continue to trade while a buyer is sought for the business but the administrators warned that a number of redundancies will be confirmed in the coming days.
Mark Firmin, KPMG’s northern head of restructuring and joint administrator, said: “The challenging retail environment on the high street is exacerbated by rising commodity and energy prices squeezing margins in this sector. These factors, along with reduced volumes with its wholesale customers, has led to the failure of this 46 year old family business.”
“We will continue to trade the bakery – which has a state of the art production facility, a 100-strong product range and a loyal workforce – while seeking a buyer and will be assessing and reviewing all aspects of the business.”
