Interim examiner for Waterford fire-resistant clothing firm
Company says corporate restructuring initiated in 2011 was beset with problems
The clients of Apparel Supply Solutions Ltd, which began as a home-sewing enterprise set up in 1985 by one of its directors, Miriam Molloy, include the Dublin Fire Service. Photograph: Eric Luke/The Irish Times
A High Court judge has appointed an interim examiner to a Waterford company employing up to 35 people providing industrial and specialist fire-resistant clothing for workers here and in several other countries.
The clients of Apparel Supply Solutions Ltd, which began as a home-sewing enterprise set up in 1985 by one of its directors, Miriam Molloy, include the Dublin Fire Service, the Dublin Airport Authority and ESB Networks. It also manufactures Azzurri sportswear.
Petition for protection
The petition for court protection and an interim examiner came before Mr Justice Peter Kelly yesterday who said he was satisfied, on the material before the court, to grant protection pending the hearing of a full examinership application next month. Mr Justice Kelly said he would also appoint Jason Sheehy as interim examiner.
The company claimed that while it had been invited by the GAA in 2002 to apply for the licence to provide sportswear to the association, it had limited success penetrating a market dominated by another established provider, O’Neills.
That resulted in significant trading losses and the write-off of manufactured stock, it said.
A corporate restructuring of the business initiated in 2011 was beset with problems and delays, and had a critical impact on the financial, operational and customer service activities of the company, it said.
That resulted in depressed sales and negatively affected cash flow, resulting in the company and its business, while otherwise successful, becoming insolvent in mid 2013, the petition stated.
The company had accumulated bank debt with Bank of Ireland for some €1.1 million. Due to various difficulties, including the bank’s refusal to reinstate an invoice-discounting facility, the company experienced significant cash-flow pressure despite having a turnover of €4.6 million last year, it said.