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Shadow minister: Steel offer may have been too late

Responding to the Economy Minister's statement on the support offered to steel firm Rowecord, Shadow Business Minister Nick Ramsay said:

We welcome the offer of support from the Welsh Government - although I fear this may be too late in the day to be of practical help.

We hope that Ministers will leave no stone unturned in helping to save as many jobs as possible and support the highly skilled workforce in securing rewarding employment.

This sad news emphasises the need for the Welsh Government to develop a clearer strategy to support Wales’ manufacturing industries, which are struggling in this challenging economic climate.

– Nick Ramsay AM, Shadow Business Minister

Rowecord: Economy Minister's statement

We have offered assistance to the maximum level allowable within state aid rules to the company. However, this offer was not taken up by the company, because of their worsening financial and competitive position.

The company’s senior management have thanked the Welsh Government for our offer of support and for the speed and flexibility with which we responded, however, they have reluctantly decided that it is in the best interests of its employees and partners to file for administration, when a buyer for the business may be identified.

We will now work with the Administrators, Grant Thornton, to explore all options for securing the future of the company and we will of course discuss packages of support with any potential buyers.

– Edwina Hart AM, Economy Minister

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Steel firm was offered 'maximum allowable help'

The Economy Minister says that the Welsh Government offered 'maximum allowable' financial help to the steel firm Rowecord. But Edwina Hart told the Assembly that the company decided to turn the offer down because of its 'worsening financial position.'

The minister said that Rowecord's management thanked the Welsh Government but felt that the maximum financial support was still not enough. She said officials are in contact with administrators to look at a rescue package and said that she would offer support to any potential buyers.

Rowecord administration: Workers' uncertainty

Workers at Newport engineering firm Rowecord say they're facing an uncertain future following news that the company is in administration.

One employee told ITV Cymru Wales he has been employed there for 20 years.

Administrators have begun work to try and save around 400 jobs.

Rowecord Managing Director Andrew Hoppe said the company had “exhausted every option to sustain the business for the future.”

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Welsh Government: Rowecord help offer 'not taken up'

The Welsh Government has confirmed that assistance was offered to Rowecord, but that it was not taken up.

The Welsh Government has worked closely with Rowecord to support the business and offered assistance to the maximum level allowable within state aid rules.

However, the offer was not taken up, as Rowecord decided that it is in the best interests of its employees and partners to file for administration when a buyer for the business may be identified.

– Welsh Government spokesperson

The Welsh Government added that 'as much support as possible' would be made available to employees.

Rowecord administration news 'devastating blow'

News that administrators have been called in to Newport engineering firm Rowecord has been described as a 'devastating blow'.

This is a devastating blow, not just for the Rowecord workforce which will be affected, but for the Welsh economy as a whole.

It is also likely to have an impact on a number of other companies along the M4 corridor that up until now have been suppliers to Rowecord.

Among our roles as administrators will be to explore which, if any, parts of the business can be salvaged and whether any jobs can be saved.

A number of Rowecord employees will be retained in the short term post- administration to complete work in progress.

– Alistair Wardell, Administrator

Rowecord Managing Director Andrew Hoppe said the company had “exhausted every option to sustain the business for the future.”

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