C&D Providers, the builders' providers business owned by developer Michael Whelan's Moritz Group, expects to lose €2m this year. Documents lodged with the Labour Court also state that Wexford-based C&D has experienced a dramatic collapse in sales, and without the financial support of its parent company, the business would not be viable.
"C&D Providers was acquired by the Moritz Group in February 2008. The trading results following acquisition did have one-off costs associated with the restructuring," the company said in a statement. "General trading conditions continue to prove difficult... However the company continues to enjoy the support of the wider Moritz Group. We are forecasting a return to modest profitability in 2010."
The Labour Court case came after the company laid off five workers at C&D. The court recommended that the workers be given one week's pay per year of service in addition to statutory payments.