Cains faces wind-up threat over Customs dispute

Jul 26 2008 by Alistair Houghton, Liverpool Daily Post

Cains

But HMRC’s website says it will start the legal process immediately if a company does not within seven days either pay its debt or contact it about settling the debt.

Cains diversified from its core brewing business last year to acquire a pub chain. Since then pubs in general have faced a challenging climate, thanks to a combination of the smoking ban, the credit crunch and the impact of two poor summers that have seen drinkers stay at home.

In Cains' last set of results, published in April and covering the 14 months to October 28, 2007, the company reported a loss of £2.8m and said times ahead would be tough.

In a trading statement issued at Cains’ AGM on May 23, the company said trading in the first half of the year had been “challenging” and that it remained cautious about the outlook for 2008. However, the company said it was pleased with its progress.

Cains was originally founded in Liverpool in the 1850s and was for many years known as Higsons. In 2002 it was bought by brothers Ajmail and Sudarghara Dusanj, who pledged to transform its fortunes.

Last year the company listed on the stock market after its reverse takeover of pub company Honeycombe Leisure. It now runs 109 pubs and employs almost 500 people.

As well as its own ales, including its own award-winning Liverpool Lager and Formidable Ale, it brews beers for supermarkets and other beer brands. It is a major sponsor of the Capital of Culture celebrations.

alistairhoughton