A leading dairy farmer co-operative is cutting costs and seeking further funding in a bid to maintain a viable future.
United Milk, which was set up in 2000, is hoping to reduce its costs by £750,000, part of which will come through job losses, although bosses insist they will be minimal and kept to single figures. As well as reducing the costs, the group is also negotiating a refinancing deal with its bank and major stakeholders.
Chairman Richard Ashworth has announced his resignation and has been replaced by board member Paul Deakin. Non-executive director Paul Pedgen Smith has also stepped down due to the pressure of other commitments.
Deakin said: "We need to sell more and get our costs down. The package we are putting to the bank is sensible and we are confident it will agree to it.
"In the start-up process of the business, we had to pay out a lot of money and now we are tightening our belts and looking to eliminate any costs."
Deakin said the cost saving initiatives would be in place by the end of the month, with the end target being met by the end of the year.
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United Milk, which was set up in 2000, is hoping to reduce its costs by £750,000, part of which will come through job losses, although bosses insist they will be minimal and kept to single figures. As well as reducing the costs, the group is also negotiating a refinancing deal with its bank and major stakeholders.
Chairman Richard Ashworth has announced his resignation and has been replaced by board member Paul Deakin. Non-executive director Paul Pedgen Smith has also stepped down due to the pressure of other commitments.
Deakin said: "We need to sell more and get our costs down. The package we are putting to the bank is sensible and we are confident it will agree to it.
"In the start-up process of the business, we had to pay out a lot of money and now we are tightening our belts and looking to eliminate any costs."
Deakin said the cost saving initiatives would be in place by the end of the month, with the end target being met by the end of the year.
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