The commercial printer has set up a new company, Granite Communications, which is 100% owned by Park, and has taken on 20 ex-Granite employees.

Granite Communications, which will operate as a sister company to Park, will remain at its former Southend facility for the foreseeable future.

Park Communications chief executive Heath Mason said: "There are separate cultures at the two businesses, different working practices. It would be foolish to assume we could just bring the two together.

"But Granite has a strong team, they know what they are doing. What we offer the company is stability and financial expertise. The staff seem enthusiastic to be part of something bigger."

Mason said that he understood some creditors would not be happy to have lost money through Granite’s administration, but he does not see this affecting the group going forward.

"Our intention is to meet all the creditors," he said. "We want to establish an ongoing relationship. We can do nothing about the pain of money lost through the administration and I know that people are very upset, as we are when we suffer bad debt.

"What we can do is offer them ongoing purchases, from a wider group and the knowledge that they are dealing with a financially robust group not a feeble company."

Mason is already planning investment at Southend, although he would not be drawn on what at this stage. But he told PrintWeek that he expected to see some form of investment at the site in the next year.

Commercial printer Granite Colour fell into administration after the failure of its subsidiary business The Good News Press put pressure on cashflows.

Insolvency practitioner Duncan Swift was appointed to the £2.5m-turnover Essex business on Friday 14 January 2011.

According to Tenon, the firm’s purchase of Good News Press, which closed late last year, in February 2010 was the primary cause of its downfall.

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GRANITE COLOUR
Location Southend
Turnover £2.5m
Employees 20
Placed in administration
14 January