Whittle Coach and Bus has been put up for sale by its owners, hull-based EYMS Group, following several years of operating losses.
EYMS Chairman, Peter Shipp, said that he was extremely disappointed at having to make the decision, the group having bought the Kidderminster-based company from Ron Whittle in 2004 with every intention of growing and developing it for the long term.
However, he said competition in both the bus and local coach market has eroded the Whittles’ financial situation, not helped by factors outside the company’s control.
The Government’s 20% cut in BSOG in 2012, pressures on local authority budgets which have reduced concessionary travel reimbursement to bus operators and the money available for local authorities to support unprofitable services were also highlighted as problems. EYMS Group said it could no longer afford to support its loss-making Whittles subsidiary.
EYMS said it is hoped that a buyer can be found for the business, or at least parts of it, and its absolute priority is to try and save jobs. Efforts to contact possible interested parties have already begun.
Whittles has an annual turnover of almost £4m, split between local bus services, coach operations, including day trips, private charter and holiday tours, and significant operations on contract to National Express. The company employs over 50 full-time staff, plus a number of part-time and casual employees, and operates 35 buses and coaches.
During a Face to Face interview (CBW1118, December 2013) Peter Ship told CBW that Whittles’ National Express contract work has ‘undoubtedly helped to support the Whittles business.’ He said at the time that the private hire and coach touring side were also doing well, but running the business was proving ‘more difficult than we thought.’
On the announcement of the business going up for sale, Peter Shipp, said: “Despite great efforts over the last few years, it has not been possible to reduce the losses and after a great deal of soul searching we have decided that we have no option but to try and sell the business.
“While it has not worked for us, it could well be that for one or more other operators perhaps based in the area, there could be some synergies which would make the operation worthwhile and we are contacting anyone we think might be interested in buying all or part of the business.
“It is important to stress that neither Whittles nor EYMS Group is in actual financial difficulties so payments to suppliers, and pay and all other monies due to our employees up to the date of sale or closure are not at any risk, and Whittles’ coach business will continue as normal at least until the end of the year.
“This is a huge disappointment for me but, of course, it will be an even bigger disappointment for the staff at Whittles and we will be giving them every opportunity to talk to our managers in the next few weeks so that they can discuss the issues which will undoubtedly affect them, and we will offer advice and practical help wherever we can.”
