UP TO 50 jobs have been lost after one of the Northern Ireland’s leading independent manufacturers based in Coagh went bust.
CNC Components which makes doors and accessories for kitchen and bedroom units called in the administrators on Monday.
However local firm Orrlee Kitchens which operates nearby has quashed all rumours that it is linked to CNC Components.
Managing director of Orrlee Robert Watson said while it is tragic that CNC had gone under, his firm, which manufactures kitchens, is thriving and still operating as a successful business and has no connection to CNC Components.
In a statement to the Mid Ulster Mail, the Director of CNC Components Tim Dillon, blamed the demise of his company on ‘major challenges in trading through a depressed market and consequential cash flow problems’.
Mr Dillon said: “It is with the greatest regret that we have reached this difficult decision which we believe is the only choice we have been left with. On behalf of myself and all the directors we would wish to pay tribute to the dedication and professionalism of our staff who have supported us throughout these difficulties.
“We would also wish to recognise the support of our customers and suppliers over the years.”
CNC Components (U.K) Limited was established in 1988 and employed more than 40 staff. The company operates from premises at Ruskey Road, Coagh.
John J. Cavanagh, of Cavanagh Kelly, the Administrator, has assessed the position of the company and the decision was taken to cease trading with immediate effect. The Administrator is considering options to sell the business and assets of the company. All opportunities to fulfil existing orders for customers are being explored.
Interested parties in the business and assets of the company should contact the Administrator’s Office at Cavanagh Kelly, 38 Northland Row, Dungannon, BT71 6AP telephone 028 8772 1194
Ulster Unionist Councillor Trevor Wilson, Chairman of Cookstown Enterprise Centre, said: “It is disappointing to hear of the loss of jobs at CNC components.
“It will be extremely difficult for those employees and their families who have been affected by this closure. The company has been a major employer in the area and the job losses will be a severe blow to the local economy.
However Councillor Wilson was keen to point out that nearby Orrlee Kitchens is still a thriving business.
“I would like to assure any customers and potential customers that Orrlee Kitchens are not part of CNC Components and are trading successfully,” he said.
Mid-Ulster DUP Assembly MLA Ian McCrea, has voiced his disappointment at the news that CNC Components based near Coagh has closed its doors, resulting in many jobs lost.
Councillor McCrea said: “It is with great sadness and disappointment that I heard of the closure of CNC Components a company that has served the community well over many years giving employment to many local people during this time.
“During these hard economic times and with growth slower than expected, it is understandable that businesses find it very difficult to stay afloat and I am in no doubt that the owners tried everything possible to keep the business running and that closure was a last resort.
“The knock on effect to the families of those employed at CNC components whose loved ones have lost their job is devastating and with rising living costs, times have never been tougher and I want to assure everyone that my constituency offices are open to help them to ensure they get everything they are entitled to.”
Ulster Unionist Sandra Overend also expressed her disappointment.
The Mid Ulster MLA said: “Unfortunately due to the current difficult economic climate some of our local businesses are finding it more and more difficult to sustain their future, and Mid-Ulster is witnessing a share of business closure as well as those going into administration.
“It a very difficult climate in which to thrive – the world is a much smaller place and competing companies are not just within Northern Ireland, the UK, or Europe, but across the globe.
“I am very saddened to hear of the closure of CNC Components - a local business which was trying to survive in a very competitive market. As a new year begins we do try to be optimistic for the future but it will be especially difficult for the forty people who are now without jobs, as well as the management.
“CNC Components is based at Ballynewy, Coagh; the land there was farmed by my late grandfather during the late 1940’s and I have often been proudly told of the family business that grew in Ballynewy after my grandparents moved to Stewartstown.
“I am saddened that CNC components has met its fate, however, I am glad that Orrlee Kitchens which is on the same site continues to thrive and I wish them future success.
“I offer my support to those affected and ask them to contact me if I can be of any assistance, at any time (Tel: 86748090 or 90520305) or call into my constituency office at 1 High Street, Moneymore.
“In times of austerity, which we currently find ourselves in, it is more important than ever that the government strives to work together to promote economic recovery and growth. The Ulster Unionist Party will continue to champion this need and drive the economy forward as best it might.”