4 Aug 2015

Log transport business saved by creditors

8:01 pm on 4 August 2015

Overwhelming support for a financially troubled Nelson and Marlborough log transport business saved it from going under, its administrator says.

PwC partner John Fisk said few companies in voluntary administration had been able to successfully restructure but a great team effort by creditors and customers had rescued Waimea Contract Carriers.

The company went into voluntary administration in March, owing more than $16 million to about 156 creditors.

Mr Fisk said the company was able to be saved by recognising early on it was in trouble, which allowed a plan to be put in place.

"We could renegotiate contracts, look at parts of the business that could be sold off that weren't so profitable, and do some restructuring but it enabled the company to be put on a more viable platform.

He said, through choosing to keep the company trading, its creditors had saved almost 100 jobs.

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