That is according to a company spokesman who was commenting yesterday on new accounts filed by Cappoquin Poultry to the Companies Office that confirm it recorded a €799,026 loss in the 12 months to the end of Dec 2010.

Irish Examiner reports that the loss in 2010 followed pre-tax profits of €285,001 in 2009.

The firm recorded the loss after revenues dipped from €30m to €27m in 2010.

The spokesman attributed the loss to "high feed costs and sterling weakness".

He said sterling’s current strength against the euro and lower costs are significant factors behind the company projecting to returning to operating profit this year.

"It is a tricky environment where the normal banking credit facilities for companies are not there, but we are optimistic for the future. We are targeting higher margin customers and implemented tighter credit control policies."

Along with employing 125, Cappoquin also purchases chickens from 30 growers in the immediate area. The Co Waterford plant has capacity to process 500,000 units per week.

The company went into liquidation in 2008 and was rescued by businessmen, Perwaiz Latif, Zahid Hussain and Tom Vaughan.


When going into liquidation, the company owed €11m to unsecured creditors.

The accounts for 2010 show staff costs for the 165 staff came to €3.4m in 2010 — down from the €4.3m paid out in 2009.

The figures show the firm recorded an operating loss of €747,905 in 2010.

The company received ‘other income’ totalling €332,594 with interest payable €383,715.

It had a shareholders’ deficit of €514,025 at the end of 2010.

Its cash during the year declined from €683,616 to €388,309.