Page last updated at 11:04 GMT, Wednesday, 20 May 2009 12:04 UK

Struggling glass factory to close

More than 150 workers at a glass factory in County Durham are to lose their jobs after it was announced the struggling plant is to close.

Bosses at Schott Industrial Glass Ltd in Newton Aycliffe blamed the recession for the move.

The firm said an agreement had been reached with its 151 employees regarding redundancy payments and the closure would be carried out in phases.

The factory will be fully closed by the end of the year.

A 90-day consultation process began at the plant in February when it was announced the business was in difficulty.

Sales decline

Michael Schuhmann, executive vice president of the factory's German owner, Schott Flat Glass, said: "We deeply regret that this decision has had to be made.

"There has been a further sales decline in the British home appliance market which means a smaller turnover level and no chance of recovering soon.

"Therefore continuing to manufacture in the UK would endanger the long term profitability of the Schott Flat Glass business as a whole."

A statement from the company added: "Although the workforce has worked extremely hard with management to find a way forward for the operation, the achievements were unfortunately not enough to secure the viability of the plant."

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