Northern Foods is to sell off its distribution arm, NFT Distribution, as part of a major restructuring which will see it disposing of businesses that represent 40 per cent of group revenue.
As well as providing distribution services for the parent group NFT Distribution does a significant amount of third party work. However, the group has decided it is a non-core activity.
Chief executive, Pat O¹Driscoll, said: “In the last three months we have completed our business review to make Northern Foods a more profitable and competitive business in its chosen markets. 2006/07 will be a year of change and transformation as disposals are progressed and continuing businesses strengthened and focused.
Businesses to be sold will continue to impact trading performance, requiring near term investment and restructuring to improve their competitive position.