Search on for crystal firm buyer

The Edinburgh Crystal company was founded in 1867

Efforts are continuing to find a buyer for the troubled Edinburgh Crystal glassware company.

The company announced 270 job losses on Monday after it had been put into administration last week.

The cuts consisted of 70 of the 120 staff at its Penicuik headquarters, along with 200 posts at department store concessions across the UK.

The company's joint administrators said the cuts were needed to save the firm and stem its losses.

It remains our strategy to sell the business as a going concern John Reid Deloitte corporate recovery

John Reid, of Deloitte corporate recovery, said: "Following a review of operations, which revealed that the business has incurred substantial losses as a result of a steady decline in consumer demand over a number of years, it has been necessary to reduce the headcount in order to preserve the business.

"Despite Edinburgh Crystal's problems, however, the company has a strong brand and a presence in numerous department stores throughout the UK.

"It remains our strategy to sell the business as a going concern and we are currently in talks with a number of interested parties."

The remaining 160 employees have been told that the firm is still trading and administrators hope they will be able to keep their jobs.

High losses

Edinburgh Crystal had 14 factory outlets and 77 department store bases throughout Britain and its gifts have been presented to royalty in the past.

Despite a worldwide reputation for its crystal tableware and gifts, the firm has suffered substantial financial losses and has been unable to secure a new buyer.

Its losses were running as high as £1m a year in 2004.

The company's core business of selling to households has declined and it has been unable to shed its traditional image.

South of Scotland MSP Christine Grahame said the 70 job losses in Penicuik would be "really quite devastating" for an area which has seen more than its fair share of economic decline in recent years.

Adam Montgomery, Midlothian Council leader, said: "In light of the announcement of staff redundancies we will be seeking to meet with the company to put in place support and advice facilities for those staff who are affected.

"Edinburgh Crystal has been in business in Penicuik for over 35 years and we hope a buyer can be found to take on the company and allow the business to remain in the area."

The firm's subsidiaries, Caithness Glass and Selkirk Glass, have avoided insolvency.