Ex-Ilva chief returns; Ryalux parent reports £9m loss after posting £4.7m profit in ‘07

27th March | carpets | The former chairman and chief executive of Danish retail chain Ilva is returning to the home furnishings industry with Airea, the parent company to carpet manufacturer Ryalux. Martin Toogood will join the firm on 1st April, as a non-executive director.

It is a delicate period for the carpet group, which besides Ryalux also includes contract supplier Burmatex. In the six months to December 31st, the group reported an £8.8m loss, after making £4.7m in the same period 12 months before.

40 jobs at Airea (formerly known as Sirdar) will go, and the company says more may follow. Sales fell 9% in the second half of 2008, but have taken a worrying 23% like for like tumble in the early part of 2009. Residential carpet sales have taken the brunt of the falls.

The firm says its focus is on driving cost efficiencies to position the business for the future. Ryalux is one of Britain’s best-known carpet manufacturers, producing popular lines such as its V&A Twist.

Toogood headed up the ill-fated arrival of Ilva into the UK market from 2003-2007.