Bremworth Limited (NZX: BRW) has agreed to a further partial settlement of $15.5 million plus GST, where applicable, with its insurers, taking the total partial settlement to date to $35.5 million plus GST, where applicable.
This money will be used to implement mitigation and business continuity plans, to support affected staff and to meet ongoing obligations.
The Directors are in the process of appointing external consultants to assist the Board with a strategic review, including the supply chain and manufacturing cost base.
Clean-up at the Napier site is virtually complete, with the assessment of damage to buildings, plant and equipment now in the process of being reviewed by the loss adjustors and their own experts.
Alternative supply arrangements have been put in place, including the supply of yarns from an independent New Zealand yarn spinner, the use of independent third-party dyeing facilities to supply the Whanganui yarn spinning plant, and the supply of NZ wool yarns from overseas suppliers.
The priority remains the people, with the focus on ensuring the Company can continue to supply key product ranges despite the challenging circumstances.
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