The forty-eight former Fivemiletown milk suppliers have been assured that Fivemiletown and Brookeborough Co-operative and Agricultural Dairy Society (the Society) is debt free and that they will “continue to be paid”.
While 50 staff at the once-booming Fivemiletown Creamery await their redundancy packages in two weeks, a letter sent by General Manager Guy Simpson to the 48 milk suppliers and seen by the Impartial Reporter states: “As a supplier, you should be assured that all liabilities will be met.” The letter continues: “The Society is solvent and will continue to trade, albeit in a reduced capacity.” It is understood that the milk suppliers will have a direct contract with Glanbia but the administration will be carried out by the Society, which will still owns the cheese manufacturing site.
This follows the 83 per cent vote by the 39 shareholders in favour of entering a long-term contract with Glanbia, agreeing to provide it with 25 million litres of milk per year and to receiving an advisory service.
The letter from Mr. Simpson also told suppliers that they must secure a purchase order reference number before payment will be authorised.
Legal documents over the agreement with Glanbia Ingredients Ireland Ltd. will be finalised on April 30.
The letter concludes: “The Management of the Creamery would like to express their thanks to you the suppliers with whom we have had many years of mutually beneficial trading.”
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