Essexs Progressive Printing, which called in receivers two weeks ago, has been saved from closure by packaging firm H&R Corrugated.


The Leigh-on-Sea firm was cut from 100 to 48 staff before receiver Smith & Williamson sold it. The new firm will be called Universal Progressive and aims to take on more staff to take it over the 50 mark.


H&R Corrugated chairman Harry Hoy will chair the new firm. Progressive director Bob Kelleway will hold a senior managerial position, to be confirmed.


Rochfords H&R has 30 staff, 3m turnover and includes Universal Packaging and Pryors Print Finishers in Hadleigh.


Pryors production director, Cliff Northwood, will be managing director of the new set-up.


Hoy said Progressives sister company Lithofast was not included in the deal and was "defunct". Total debts were said to be around 1m.


"We have cut out the non-profitable parts to form a business core. We will not asset strip, hope to keep the status quo and take its turnover back to its former 10m level in 18 months."


In 1998 Progressive Printing posted sales of over 9m but scraped into profit with less than 4,000. It specialised in books, greeting cards, packaging and commercial print.


Story by Jez Abbott