FED: Major creditors meet with union today

AAP General News (Australia)
02-10-2000
FED: Major creditors meet with union today

Union organiser STEVE DAVIES says major creditors of a collapsed Hunter Valley textiles
company Scottish Pacific Business Finance and Oldtext are divided over whether to push
for the sale.

Sacked National Textile workers spent most of yesterday locked in talks with company
creditors trying to secure the remaining $7 million owed in workers' entitlements after
the Rutherford factory folded in January.

The talks will continue today.

The federal government on Monday announced a one-off $4 million joint state and commonwealth
package for the textile workers.

But Textile, Footwear and Clothing Union assistant secretary JOHN OWEN says while the
union welcomes the announcement, the remaining money is dependent on the sale of machinery
and the Rutherford plant.

The union and a committee of creditors yesterday resolved to give voluntary adminstrator
Star, Dean, Willcocks support to push for the sale of assets to Bruck Textiles.

AAP RTV nd/sb/msk/jn/pjg/wz

KEYWORD: SACKED CREDITORS (SYDNEY)

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