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Mayday rises from Slick ruin

14th September 1989
Page 8
Page 8, 14th September 1989 — Mayday rises from Slick ruin
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Which of the following most accurately describes the problem?

• A new haulage business, Mayday Express, has risen from the ashes of Bristol-based Slick Services which went bust in July, leaving debts of around 2300,000.

Management team Kevin May and Mike Rogers — both former employees of Slick — decided to start their business, taking on Slick's seven depots and 100 staff, three days after Slick announced it had gone out of business.

Mayday has since secured "major 21 million deals", according to Mike Rogers, in addition to the business inherited from Slick Services, and the company is now looking for franchisees in the South-West.

Mayday runs a threepronged operation using contract hire vehicles: Mayday Express Freight Services, which handles large lorry loads; Mayday Storage, with depots in six locations in England and Wales; and Mayday Express, which deals with parcel distribution. Rogers says Mayday has a 23.5m turnover target for its first year of trading.

Rogers claims a "very nasty situation" has developed between Mayday and Slick's former directors and creditors, with the latter making allegations that Slick has simply reopened under a new name. As a result of "aggravation", Rogers has relocated three of his depots, in Stockton, Tunbridge Wells and London, to secret sites nearby.