North East bakery retailer and wholesaler Peters Cathedral Bakers Limited - trading as Peters Bakery - has appointed Mark Firmin and Howard Smith of KPMG as joint administrators.
The family business is headquartered on a freehold site on Durham’s Dragonville Industrial Estate where it also has a 50,000 sq foot factory, full of modern equipment; the result of a total refit after a fire seven years ago.
Its most recent financial statements show that Peters Bakery has a turnover of more than £12m on the back of a network of 58 stores across the North East of England, contracts with leading supermarkets, a direct mobile sales operation and 403 employees.
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.”
A number of redundancies are anticipated and will be confirmed in the coming days.
Anyone interested in acquiring the business should contact Colin Wilson at KPMG on 0113 231 3719, while customers are encouraged to check out the deals available in the shops under the administrators’ management.
Notes to editor
For further information please contact
Alison Anderson, PR manager, KPMG,
T: 0113 254 2980
KPMG LLP, a UK limited liability partnership, is a subsidiary of KPMG Europe LLP and operates from 22 offices across the UK with over 11,000 partners and staff. The UK firm recorded a turnover of £1.7 billion in the year ended September 2011. KPMG is a global network of professional firms providing Audit, Tax, and Advisory services. We operate in 150 countries and have 138,000 professionals working in member firms around the world. The independent member firms of the KPMG network are affiliated with KPMG International Cooperative ("KPMG International"), a Swiss entity. KPMG International provides no client services.