100 jobs to go in Tayto closure

C&C is to close its Tayto crisp plant in Coolock, Dublin, resulting in the loss of nearly 100 jobs.

This is due to the reorganisation of the Tayto snacks brand in response to growing competition in the Irish market, the company said.

Tayto will continue to be made in Ireland using Irish potatoes but production will be outsourced from October to Largo Foods in Ashbourne, Co Meath, which already manufacture other Tayto products.

C&C markets and distributors branded drinks and snacks in Ireland, yesterday announced the move as part of a reorganisation.

Apart from Bulmers, other drinks owned by the group include Tullamore Dew and Ballygowan and Magners cider.

The snacks’ market in Ireland is highly competitive.

The programme includes the outsourcing of crisp manufacturing to Largo Foods and the closure of the Tayto Crisps factory in Coolock a well as the integration of snacks distribution with beverages.

C&C said the decision to cease production of Tayto in-house followed an overall assessment of the options available to the group.

The reorganisation will result in the loss of 98 jobs in October. The remaining 166 jobs in Tayto involve several functions including new product development, sales, marketing and quality control.

The reorganisation programme will result in an exceptional charge of approximately €10 million in C&C’s 2005/6 fiscal year.

C&C group chief executive Maurice Pratt said that C&C was committed to pursuing efficiency improvements in each of its operating divisions.

C&C became a publicly-quoted company in May, 2004. In its last financial year it reported sales of €750.4m and operating profits before goodwill and exceptionals of €115m.

The group owns several of Ireland’s most recognised brands, and holds the leading brand position in several markets - cider, bottled water, citrus carbonates and savoury snacks.

Bulmers, the group’s leading cider brand, holds a 9.6% share of the Irish alcohol drinks market.

In the Irish market the group owns four of the top five leading soft drink and bottled water brands and the leading savoury snack brand.