Eighteen Aulds shops have closed in the past month after the family-owned Scottish business placed its retail business into liquidation.
Aulds announced in early August that it was switching its focus to its wholesale and production operation. The move is designed to turn around the company, which reported a loss of £430,000 on turnover of £15.4m in the year to 1 April 2017.
The retail business had been forced into an “unsustainable loss-making position” by a combination of pressure from high street and supermarket competition, as well as increasing ingredient, distribution and wage costs, according to the liquidators.
Aulds’ products will continue to be available in independent outlets and 50 Scotmid stores supplied by the business, and this wholesale arm will not be impacted by the liquidation of the retail division.
At the time the business entered liquidation in early August, joint liquidators Paul Dounis and Steve Ross of RSM Restructuring Advisory said they were assessing the 26-site retail division with a view to selling all or some of the stores.
Since then, 18 retail sites have closed (see list below) and the eight remaining shops are continuing to trade while the liquidators seek opportunities to sell them.
Aulds managing director Alan Marr, a fourth-generation descendant of founder Thomas Auld, said the retail liquidation was the only way to protect the rest of the business, which employs a further 200 people.
He explained the move would ensure the survival of the brand and safeguard 200 jobs across its two other subsidiaries, Aulds Bakeries Limited and Aulds Delicious Desserts.
“We regret that a significant number of our colleagues will be affected by these circumstances, and we’ll be working closely with local job centres and other services to help people into new jobs if necessary,” he added.
Aulds’ retail site closures:
- Princes Street, Port Glasgow
- Sylvania Way, Clydebank
- Glasgow Road, Paisley
- Regent Way, Hamilton
- High Street, Dumbarton
- Neilston Road, Paisley
- Lynedoch Street, Greenock
- West Blackhall, Greenock
- Brandon Parade South, Motherwell
- Almada Street, Hamilton
- Princes Mall, East Kilbride
- High Street, Lanark
- Union Street, Larkhall
- Almondvale South, Livingston
- Hairst Street, Renfrew
- Burns Precinct, Kilmarnock
- Fullarton Square, Irvine
- High Street, Ayr