Hutt Mountain Buggy pushchair company folds

A Lower Hutt baby stroller company has gone into receivership, just weeks after axing 25 jobs.

Tritec Manufacturing which makes Mountain Buggy pushchairs had "some significant debts", receiver John Fisk, of PricewaterhouseCoopers, said yesterday.

"The directors took the view that they couldn't continue so they invited the bank to appoint us [he and Colin McCloy] as receivers."

It was too early to say what the extent of the debt was.

The manufacturing plant was still operating and 89 staff excluding the 25 laid off last month were affected.

"What we're looking at at the moment is continuing to trade the business and look to try and find a buyer for the business as a going concern."

Tritec's product was internationally recognised.

"There's definitely a demand for the product."

Tritec, which also makes auditorium and theatre seating, was founded by the managers of the former Kenson Industries in Wainuiomata when it went into liquidation in 1998.

Tritec gained international exposure in 2005 when one of its Mountain Buggies was credited with helping to save a child's life when it was hit by falling debris during a building collapse in New York.

In December the company announced it would lay off 25 workers.

Peter Robertson, who had been acting as chief executive, could not be contacted yesterday.

In December, he said 90 per cent of the company's product was exported and it had suffered because of the international downturn. Its sales were down a third on the previous year.

Tritec faced an "awful dilemma of trying to save the company at the cost of these 25 jobs".

Union organiser Thomas Webster, of the Engineering, Printing and Manufacturing Union, said workers became aware of the receivership early this week.

"We're cautiously optimistic that the business operation will continue long-term, but we are just treating it on a day-by-day basis."

Meanwhile, figures from the Economic Development Ministry's insolvency and trustee service show the number of companies in strife during the 2008-09 financial year is significantly higher than the previous year.

In the past six months 3138 companies have gone into receivership and liquidation, up from 2220 during the same period the previous year.

Service business planning and development manager Cristian Pardo said the statistics "speak for themselves".

Mr Fisk said the number of liquidations and receiverships were "probably picking up".

Creditors were probably more cautious and less willing to help businesses that might not be viable.

That meant companies in financial trouble had few options.