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Focus collapse creates uncertainty for Wincanton & Lloyd Fraser

The collapse into administration of retail chain Focus DIY has left its 3PL providers Wincanton and Lloyd Fraser facing an uncertain future.

Rugby-based Lloyd Fraser is coming to the end of a three-year, £30m deal with the DIY chain that saw it deliver to the company's 179 nationwide stores.

A spokesman for Lloyd Fraser said that discussions with administrators Ernst & Young were ongoing and "at this stage we have no further comment to make".

Wincanton, which provides warehousing for the chain as part of a three-year, £33m contract extension signed in 2009, says in a statement: "Following the announcement that Focus has gone into administration, Wincanton can confirm that it has suspended all operations at the warehouse distribution centre in Tamworth where it has over 300 employees working on behalf of Focus.

"We are liaising with the appointed administrators to agree the next actions to take, and to ensure that we can keep our affected employees updated during this very difficult time."

Focus has not ceased to trade and customers will be able to continue shopping at Focus stores across the UK, according to the administrators. At present, its existing management team remain in place overseeing day-to-day operations.

Source : Chris Druce - Road Transport.com
www.roadtransport.com/Articles/2011/05/06/138698/Focus-DIY-collapse-creates-uncertainty-for-Wincanton-and-Lloyd.htm

06 May 2011
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