AUS: Evans & Tate review costs jobs
Ailing Australian wine producer Evans & Tate has axed 20 jobs as part of a round of cost cuts it hopes will revive the business.
Evans & Tate said today (7 February) the review - undertaken with consultants 333 Performance Management - had identified annual savings of A$2.5m (US$1.9m).
Chief executive Martin Johnson said 20 employees from across the business were being laid off.
"This is the last thing I want to do, however I am determined to make the hard decisions necessary to ensure that the Evans & Tate turnaround strategy has every chance of success," he said.
"I'm very confident that these changes will put Evans & Tate in a stronger position to implement its turnaround strategy whilst ensuring there is no deterioration in the quality of our wines or the excellence of our service to customers."
Johnson said that the company's management team had been reduced, with himself now taking direct responsibility for sales and marketing.
Evans & Tate has suffered due to Australia's wine glut and has been forced to announce a series of write-downs of surplus wine. In 2004/05, the company booked an annual net loss of A$49.8m.
A delay in the sale of its Griffith winery has forced Evans & Tate to secure further short-term financing as it looks to turn around the business.
Australian wine company Evans & Tate has suffered acutely as grape oversupply and weak exports have combined to hit the Australian wine industry hard. David Robertson reports on the company's woes and...
Evans & Tate has put its Oakridge winery up for sale as part of its plan to focus on its premium wine business....
Evans & Tate risks having to immediately repay A$20m (US$14.7m) to convertible noteholders....
Evans & Tate has completed the sale of its bulk wine inventory but said it would work with consultants 333 Performance Management for a further three months in a bid to turn around the business....
Evans & Tate has appointed a new chief executive officer....
Evans & Tate may be investigated by the Australian authorities, according to local press reports....
The troubles of Australian winemaker Evans & Tate are increasing, with news today (16 August) that the company now expects to make write-downs of not less than A$16.5m for the 2004/05 financial year....
Shares in Evans & Tate were placed on a trading halt today (28 June) at the request of the company, pending the release of an announcement by the Western Australian winemaker....
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