Auto Windscreens in administration.

[munroman]

Auto Windscreens has gone into administration, putting 1,100 jobs at risk.

The Chesterfield-based company, the UK's second biggest windscreen repair firm, said it had temporarily suspended all operations.

The administrators from accountancy firm Deloitte said there were no funds with which it could carry on trading.

The majority of staff have been asked to stop work and customers are being advised to contact alternative firms.

Deloitte said a number of factors had come together to cause the firm to call in the administrators.

One of its major customers terminated its contract with Auto Windscreens, and a major creditor served it with a winding up petition.

This was on top of cash flow problems caused by lower-than-expected sales revenues at the end of last year and delays in putting in place a new IT system, which was part of a major restructuring.

Auto Windscreens had already been in talks about raising additional funds, but an agreement could not be reached in time.

The administrators said they would be continuing these discussions.

Deloitte has also asked for people interested in buying the business, or part of it, to get in touch.

Auto Windscreens has 68 fitting centres, 550 mobile units, a call centre and a distribution centre in Aston, Birmingham.

[rog007]

I'm sure something will be done to rescue/takeover. Windscreens get chipped and need repairing. Guess the current management didn't do it's sums properly?

[Simpo Two]

rog007 said:

I'm sure something will be done to rescue/takeover. Windscreens get chipped and need repairing. Guess the current management didn't do it's sums properly?

Quite so. Although suddenly losing a big client wouldn't have helped.

If any ex-technicians are reading this and can grab an S-Type windscreen for me we can do a deal

[rog007]

Simpo Two said:

Quite so. Although suddenly losing a big client wouldn't have helped.

If any ex-technicians are reading this and can grab an S-Type windscreen for me we can do a deal

You're right, and as has just been proven, any business plan that is so reliant upon a single customer is not a business plan!

[Simpo Two]

Perhaps they'd make (have made) more money by cutting out the insurance companies and just selling direct to motorists? Surely insurance companies can only sit in the middle, beat down prices, take another layer of profit and put cashflow at risk...

[V8mate]

I appreciate that this thread started 10 minutes before the other one, but the other one did have three times as many replies.

[Shaw Tarse]

While you're locking duplicate threads http://www.pistonheads.com/gassing/topic.asp?h=0&a...

[Simpo Two]

I can't see another thread about it here - I don't check every forum before posting.

[V8mate]

Simpo Two said:

I can't see another thread about it here - I don't check every forum before posting.

Sorry chap; my comment was aimed at the Moderation team, not you.

[anonymous-user]

Maybe it wasn't such a smart move closing HEATED depots when glass can only be bonded at certain temperatures....& then we have the coldest December for 100 years RAC sold at the right time?

[Andrew[MG]]

How much does a typical new windscreen cost compared to the £50 insurance excess?

[anonymous-user]

Talking to my bro he reckoned the heated one in my car was well over £400. Hasn't the excess gone up to £75 now?

[Zaxxon]

Also proves the power of advertising. I had never heard of this company.

But 'Autoglass repair, autoglass replace.
Jism in your hair, jism on your face.

[Engineer1]

The thing is you don't really have a choice in windscreen replacement as if your insurer say company A is their chosen supplier and your excess is £60 or you can go to company b and pay the £400 your self which company gets the work?

[Turtlez]

Zaxxon said:

Also proves the power of advertising. I had never heard of this company.

But 'Autoglass repair, autoglass replace.
Jism in your hair, jism on your face.

Just spat my bacon sarine out on this one,Thanks.

[Simpo Two]

Engineer1 said:

The thing is you don't really have a choice in windscreen replacement as if your insurer say company A is their chosen supplier and your excess is £60 or you can go to company b and pay the £400 your self which company gets the work?

You're still paying for it in your premiums, you just can't see it. That's why I think insurance companies just sit in the middle and get fat. If they didn't make money on windscreens they wouldn't offer them.

[anonymous-user]

Simpo Two said:

You're still paying for it in your premiums, you just can't see it. That's why I think insurance companies just sit in the middle and get fat. If they didn't make money on windscreens they wouldn't offer them.

Come off it, insurance companies make ZERO money, that is why our premiums shot up this year

[Dave_ITR]

My friend started with Autoglass yesterday, no experience in the industry.

I assume they will have an influx of experienced people wanting in now also.

[lost in espace]

Dave_ST220 said:

Come off it, insurance companies make ZERO money, that is why our premiums shot up this year

I thought that they made money off investing the premiums?

[insurance_jon]

lost in espace said:

I thought that they made money off investing the premiums?

they used to, but they have had years of artificially low premiums, virtually no investment returns, and horific levels of injury claims. generally last year motor insurers paid out £1.20 to £1.75 for every £1 in premiums