Cain’s situation looking grim
The Liverpool Echo has interviewed the Dusanji brothers here. The tone is pretty grim.
The brewery is appealing for the banks to save them, although I can’t see fat-cat finance chiefs from the Bank of Scotland getting sentimental for a brewery, especially given the continued war against drinking.
The brewery may have to accept the first take-over offer it gets. I would imagine most middleweight breweries are feeling the pinch so the likely outcome is that a venture capitalist will buy up the lot and flog off everything.
Any ideas for an effective way to keep Cain’s going? There must be a way.
UPDATE: Cain’s has 48 hours to make or break, says The Publican.
UPDATE 2: Thoughts from Tandleman can be read here.
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Different bank SD, though that may not help. It is the Bank of Scotland, not RBS who have the decision here.
Tandleman - July 29, 2008 at 5:48 pm
Thanks for that, I’ve changed it. They’re all the same though. They never want to lend you money when you need it.
southportdrinker - July 29, 2008 at 7:23 pm
I’ve been looking at the interim results statement and it reads to me like a company responding to a changing market by adapting its focus–pub sales down since Christmas, but brewery sales significantly up over the last few months. Let’s hope that effort isn’t too late. I share your distrust of the banks–after what’s happened recently, who woudn’t? You’d think the bank would be better off taking £1.2 million a year in interest payments each year than letting Cain’s get absorbed by Carlsberg (or whoever), but while I know a fair bit about managing an overdraft, I’m not a banker.
If this one works out ok we just have to drink more Cain’s beer and make sure it doesn’t happen again. [sigh]
Chris Routledge - July 29, 2008 at 8:32 pm
[...] Southport Drinker and Tandleman take up the story and the Dusanjs come out [...]
Cain’s Beer Company Posting Big Losses : Chris Routledge - July 29, 2008 at 9:08 pm
Must admit that I find myself thinking that Aggers may be right (see previous post) in that we may have all been lied to. There’s a “how could it happen” general disbelief about this in the same way that the poor Mirror Group pensioners found out they were funked.
southportdrinker - July 29, 2008 at 10:08 pm
Glad my view is gospel.
Had a pint of cains in guest hoiuse tonight…talk there is drink it while it lasts and a general pissed off with everything
There’s a flaw in your argument in that cains is not what id call a “great pint” merly a half decent one.That having being said it is a a major blow for the pool. I had had hopes of cains sponsoring liverpool fc – they wouldn’t even touch eveton now
Aggers - July 29, 2008 at 11:18 pm
I’m inclined by temperament to be a little more charitable until we know more. Cain’s is a public company now, so they are obliged to operate under much more aggressive financial scrutiny. I think you’ll be hard-pressed to find a company where the marketing department and the accountants agree entirely and when a company goes public those differences become public too. I wonder if the company culture didn’t adjust quite as quickly as it might have to the new way of working, hence the resounding cries of wtf?
Chris Routledge - July 30, 2008 at 9:06 am
This is a longshot but couldn’t the council offer assistance after all it is a leading Liverpool brand. I remember when Wirral Council saved Tranmere Rovers and I think more people would rather see Cains saved – at least the brewery – rather than some of the pie in the sky things the city gets involved in.
David H - July 30, 2008 at 10:19 am