Airfix in a fix

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Manufacturing News, Source : TheManufacturer.com
Published : 31 Aug 2006 16:10
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Airfix, the iconic maker of plastic plane kits, went into administration this morning, as problems with its French manufacturing supplier and cash flow difficulties caused parent company Humbrol to throw in the towel.

The UK’s last plastic kit model making company, Airfix, is facing an uncertain future as parent company Humbrol, which had been trading at a loss for several years in spite of bringing in a new management team in December last year, called in administrators, Grant Thornton. Thirty one of the 41-strong workforce have been made redundant.

Airfix has been in business since 1949, but had been suffering cash flow difficulties. The final blow came when its supplier, Heller, which owns all the moulds for the model kits, went out of business, and the French refused to allow the moulds to leave the country. With no on-going supplies, the company faced the end of the road.

Administrator, Keith Hinds, told the BBC that Airfix was an ‘iconic brand’ which was capable of onward sale and investment. The brand has been a firm favourite with children for nearly 60 years, and its range includes planes, helicopters, cars, trains and figures. It has, however, been losing popularity because of the rise of computer-based and internet-based games.