Waterford Wedgwood announced today it is relocating its British-based earthenware division to a lower cost Asian country with the loss of over 1,000 jobs.
The company also reported a drop in overall sales of its trademark crystal and china in what it described as a "challenging" market.
The Johnson Brothers earthenware factory based in Stoke-on-Trent will close with the loss of 1,058 jobs due to rising costs in an increasingly competitive market, Waterford said.
The news came as Waterford unveiled its full year results which show total group sales fell 4.6 per cent in the twelve months to the end of March. Sales in April and May are already 10 per cent below last year, the company said.
Operating profit was euro64.2 million compared to euro56.5 million in 2002. Earnings per share were 4.52c (2002: 4.25c). Net debt of fell by euro33 million to 356.7 million.
The group said it anticipates a difficult first quarter, but added there are some signs that consumer confidence is beginning to return in the United States - the key market for its luxury brands.
The company, which issued a profit warning in April also cut its dividend to 1.9 cents per share having previously guided it would pay 3.1 cents. The company blamed the uncertain environment and restructuring charges for the cut.