Heye-Glas reports that it is involved in the preliminary stages of insolvency proceedings. A preliminary insolvency administrator, Stephen Holtershirken, has been appointed. The action has been taken with the aim of restructuring the company in view of the overall economy and the difficult situation faced by the container glass segment, with market overcapacity, falling prices, greater energy costs and increased competition from alternative packaging materials. As a limited partnership and family owned company, it does not have the support of a parent company to assist in difficult conditions. The restructuring measures being undertaken are intended to protect the company in the future and to prevent any potentially hostile take-over. During the preliminary proceedings the company will operate as normal.
