Lenders suffer hit on Quinn firms' €44m loss
THE part-state owned remains of Sean Quinn's business empire suffered a loss of €44m in 2011, the same year it was taken over by lenders including nationalised Anglo Irish Bank.
Quinn Manufacturing Group booked after tax losses of €24.5m last year, according to accounts just published -- down from €177.5m in 2010.
Turnover in 2011 was €658m, down from €681m compared to the previous year.
The accounts are for the full year to the end of 2011, the business was handed to lenders at the beginning of December.
Losses include a write-down of €191m on the value of the Quinn cement and sand and gravel businesses, as a result of the construction sector downturn.
Quinn Manufacturing is the rump of the once vast Sean Quinn business empire. It includes factories producing plastics, cement, radiators and glass production companies.
The new manufacturing business has 2,625 employees, down from 2,746 working in the same units in 2010.
The wage bill last year was €97m, much of it paid to workers in the Cavan and Fermanagh region.
In December the business was handed to lenders owed €1.3bn, under a "debt restructuring" deal that saw banks including the former Anglo Irish Bank take control.
Under the plan, Quinn Group was split into manufacturing and "non core" units.
Some €822m of the group's debts went with the non-manufacturing units such as hotels, which are to be sold-off to repay the loans.
The remaining €475m of debt stays with the core industrial company, but is to be repaid over five years.
Despite the latest losses, directors say trading is running ahead of the five-year plan agreed with lenders.
Under that plan the reinstated debts will be paid back in full over the five years.