Dawson International Considers Calling In Administrators
09 August 2012 (PLANSPONSOREurope.com) - Dawson International has suspended trading of its shares and will consider calling in the administrators following last month’s unsuccessful talks with the Pension Protection Fund (PPF) and the Pensions Regulator (tPR) over its proposed entry of its UK defined benefit plans into the PPF.
Further to its 20 July announcement the Scottish cashmere business’s Board reports that, following talks between the directors and the trustees of its UK defined benefit pension plans, the plans’ actuary has served Notices of a Determination of Contribution jointly on the Parent Company and its UK trading subsidiary, Dawson International Trading Limited.
The announcement adds the directors of each company will consider these Notices with their advisors to determine whether these Notices are valid and whether it is necessary to appoint administrators for either or both companies. Pending this decision and therefore pending clarification of the Parent Company's financial position, the directors have requested that the shares in Dawson International be suspended with effect from 7.30am on 8 August 2012.
The directors of the firm’s parent company add they have no intention to appoint administrators for the US knitwear business, Dawson Forte, which they say is well funded and continues to trade normally.