UPDATE: Rock rolls into administration

 

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Posted on 8 May 2008 at 14:13

Computer manufacturer Rock has called in the administrators as the company struggles with cash flow problems.

An announcement on the company's website explains that customers' warranties are currently not valid, and that no repair work is being undertaken.

When we called the Rock sales line we were told that no new orders were being accepted, following the official handover to administrators at 11am today.

However, we were assured that should the company not find a buyer, warranties would be honoured by Rock's insurance company, Burnett.

"The failure of Rock is partly attributed to the cash flow difficulties faced as a result of stock misappropriation by a former employee," explains the announcement on Rock's website.

"This led to suppliers reducing credit limits, further adversely impacting upon cash flows. As a result of the recent difficulties faced by Rock in obtaining regular supplies of key components, Rock had effectively ceased to trade prior to the Administrators appointment."

"The Administrators are working closely with the management of Rock to attempt to secure a sale of the business as a going concern," continues the announcement, which goes on to claim that there are "a number of interested parties".

ROK, a mobile technology firm which holds a 51% stake in Rock, claims its relationship with the company does not entail taking on the company's debts, nor its responsibility to its customers.

A company spokesperson also confirmed that it had lost whatever investment it had made in the laptop manufacturer.

Author: Matthew Sparkes