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Director blames Chippendale and Pettaras Press for failure of TLC NSW

Tuesday, 28 September 2010
By Print 21 Online Article

David Rogers, director of The Laminating Company, NSW, speaks back, citing Chippendale Printing and Pettaras Press as instrumental in his company’s demise.

The Laminating Company (NSW) went into voluntary liquidation last week, reporting total assets of $16.78. A new company, TLC Print Finishing Pty Ltd, has begun trading from the Derby Street, Silverwater premises. Samantha Rogers, wife of David, is listed as director and secretary. It is utilising the same equipment, which is held by another of the creditors, Mamers Investment Pty Ltd, of which David Rogers is also a director.

Rogers told Print21 that his business, like many others, was affected by the Global Financial Crisis.

“The Directors noticed the decline in trading and cut expenses. This included running stocks down, reducing staff and examining cheaper alternative inputs where possible,” he said.

“The Directors continued to make adjustments to the business until it was profitable and had a positive cash flow. This was achieved in February 2010. By June 2010 it was expected that all outstanding amounts would be paid in full and TLC would make a small profit.”

TLC NSW took a major hit in March this year when Pettaras Press entered administration. According to Rogers, “they [Pettaras Press] owed the company $110,000.”

A further blow came only a month later when the axe fell on Chippendale Printing, which went into administration allegedly owing TLC NSW $140,000.

“It became apparent that the company could not survive long-term and in order to ensure the continuity of supply to customers and jobs of the employees the business was sold in August 2010,” Rogers explained.

The structure of the businesses, with the production assets held separatley from the trading operation, is relatively common in the industry. In light of the recent spate of liquidations some suppliers extending credit are seeking more personal guarantees.

In a further development, Barry Webster, director of TLC (Vic) phoned in from overseas where he is on holiday to express his sympathy for the creditors affected in Sydney. He wanted to assure his clinetele that his Melbourne-based business has no connection with the Sydney ones.

"We run our business completely differently. I feel for the guys caught by the liqudation," he said.

 

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