Nick Germani, the owner of Birstall-based pallet supplier Showcase Pallets, blocked the access road to York Mailing’s Elvington factory today (29 March) with one of his lorries.
Local newspaper The York Press reported that Germani said he was owed £67,000 by York Mailing for supplying more than 8,000 pallets, and was fearful he would not be paid if the firm goes into administration.
York Mailing, along with Pindar in Scarborough and YM Chantry in Wakefield, is subject to a fast-track sale process being run by FRP Advisory. NOIs (notice of intention to appoint administrators) have been filed for all three businesses.
At least two other lorries were unable to access the site and police were called to the stand-off, but as Germani’s lorry was parked on private land The York Press said the police viewed the incident as a civil matter and did not intervene.
Other lorries were unable to access York Mailing's site. Image: The York Press
Germani told the newspaper he would either leave his lorry there overnight, or return tomorrow to renew his blockade.
It's not clear whether scheduled deliveries of work produced at the site, which prints flyers, leaflets, inserts and brochures, have been affected.
YM Group CEO Stephen Goodman had not commented on the incident, or on whether Showcase Pallets would be paid, at the time of writing.
The sale process has reached a critical phase with wages at the up-for-sale sites due to be paid imminently.
Sources told Printweek that YM Group backer Pricoa had already been forced to put in additional funds to cover the group’s February wage bill. It’s not clear if the investment group will be willing to stump up again for the March payments, although employees have been reassured by YM managers that they will be paid this month.
The monthly wage bill for the group, including Leeds-based Lettershop which is not part of the fast-track sale process, is understood to be around £1.6m.
Separately, a source close to YM Chantry said that some customer-supplied paper had been removed from the Wakefield web offset printer today.
“The workforce think this is the end. They think tomorrow is D-Day and they will be made redundant,” the source said.
Chantry prints time-sensitive weekly magazines and newspaper supplements and has struggled to cope with the huge DMG Media contract YM took on last autumn at the busiest time of the year.