Foundrymen pictured at work in front of an arc furnace in the foundry hall at the now failed A&G Price in Thames. Picture / Alan Gibson.
A&G Price, the Thames engineering company which went into liquidation last week, owed $5.2 million to its creditors, the liquidator's first report says.
The company had been operating in Thames for nearly 150 years, but recently suffered a downturn in business and profitability "resulting in it experiencing cash flow difficulties
for some months prior to the appointment of the liquidators," liquidators Gareth Hoole and Clive Bish of Ecovis KGA said in their report.
"The company operated under those cash flow constraints with the support of its shareholder but ultimately that situation became unsustainable and the decision was taken to place the company into liquidation," the report said.
The liquidators said they weren't able to comment on the company's solvency at the date they were appointed, but would investigate, and "pursue appropriate action against the director to the extent considered economically beneficial if evidence exists to support such action."
A&G Price had $1,506 in cash and was owed $1.7m by debtors as at July 26, it said.
