LUTON, England – After 40 years of operation, the Directors of Cadac Electronics plc announced that the company is to be placed into administration following a sudden and unexpected fall-off in anticipated sales of the company's analog products in the coming months. Anthony Kent of Maidment Judd, Harpenden, has been appointed as administrator. (During administration, an administrator is placed in a company to run it in an attempt to save it. If this is not possible, the administrator will try to achieve the best results for creditors. Different countries use different terms to describe financial insolvency. In the UK, the term bankruptcy applies to only individuals and partnerships. The closest equivalent to “in administration” in the United States is Chapter 7 bankruptcy. – ed.)
Having recovered from its financial difficulties of the last three years, Cadac was close to putting its new digital console into production to fulfill an anticipated order book of approximately £2m. The directors are hopeful that buyers can be found for Cadac, as not only is the S-Digital console approaching production, but also the sales, service, refurbishment and new production of Cadac's analogue desks (F-type, J-type, R-type and S-type) is an on-going business.
Managing Director Bob Thomas said: "It is heartbreaking to see this great company go under at this stage. Although additional bank finance had been put in place to complete the S-Digital development and to get its production under way, the sudden slump in forecast analog sales over the next few months meant that Cadac would be unable to maintain the underlying cashflow necessary for its survival. Sadly, unless we can find a buyer for the company, the S-Digital, which is thought by many to be the best-sounding digital console ever developed, will disappear, along with Cadac."
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