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United pulls out of fashion

6th June 1991, Page 15
6th June 1991
Page 15
Page 15, 6th June 1991 — United pulls out of fashion
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Which of the following most accurately describes the problem?

• United Carriers is closing its hanging garment subsidiary, Scorpio International, and has sold the goodwill to Tibbett & Britten. The decision has caused a scramble for Scorpio's 600 accounts, mainly with mediumsized firms, such as Country Casuals and Jaeger. T&B says Scorpio's contracts are worth E5m a year.

The deal is officially effective from the end of June.

A team of account executives with T&B's Fashion Logistics

aim to meet most of Scorpio's customers to discuss the changes and assess their distribution requirements.

T&B has guaranteed that existing rates agreements will be honoured. It is likely to buy some of the Scorpio vehicles, although details have yet to be finalised. Bob Vickers, chairman of T&B's clothing and textiles division, says the priority this month is to plan a smooth, efficient integration of Scorpio's services into Fashion Logistics.

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