NATIONAL: The Australasian arm of sportswear group Canterbury has moved to assure suppliers it is business as usual - despite the fact its European operations have been put into administration.
Seventy-two of the 86 people working at the company's UK operation in Stockport have been made redundant.
The news may prove music to the ears of competitor Adidas with Canterbury's sponsorship contracts with rugby union and rugby league teams across the UK and Europe - including the Scottish national team, Leinster, London Wasps and Cardiff - being terminated as a result of the move.
Administrator David Costley-Wood, of KPMG, said his appointment followed the culmination of a period of "difficult trading" for the European arm which had tried unsuccessfully to expand into new areas.
The company had also been hit by the weakening of the pound, with its products imported from the Far East.
In a statement released this morning (July 14) Canterbury of New Zealand Limited chief operating officer Scott Chapman said the Australasian operation had not been affected by the move.
"As noted in the administrator’s press release, the rest of the Canterbury Group, including the global Canterbury brand, is unaffected by the administration and continues to trade as usual."
Costley-Wood said the European business would continue to trade under administration while KPMG attempted to find a buyer for the European operation and its assets.
It is understood the owners of the Canterbury Group, headquartered in New Zealand, are also assisting in the hunt for a new investor.