Speculation is rife about the future of The Donside Paper Company following the announcement that chief executive Bill Gore has decided to step down.


Gore made the decision after putting together a financial restructuring package for the company with the Royal Bank of Scotland.


Chief operating officer Mike Duckett has become chief executive with immediate effect with Gore moving to non-executive director.


Gores decision will leave him with more time to pursue his other directorships outside of the paper industry, including an Edinburgh restaurant.


The restructuring package involves the extension of financial agreements put in place at the time of Gores MBO of Donside in 1997.


A summary of Donsides accounts revealed that the company reported a heavy loss in the first accounting period of this year.


And credit checking agency ICSM said in a report on Donside that it is suggested that interested parties should not proceed without first obtaining a directors guarantee.


Last month, industry sources speculated that Gore was planning to buy Inveresks Westfield Mill (PrintWeek 27 October).


Donside signed an exclusive merchanting deal with Howard Smith Paper recently (PrintWeek 13 October) but this is said to be unaffected by the changes in management.


Both Gore and Duckett were unavailable for comment.