A French court has accepted a rescue plan for ailing pork giant Gad involving around 900 job cuts.

Gad’s parent company, Cecab, said: “Without significant restructuring, Gad’s surplus production would have condemned it to going out of business.”

Go deeper with GlobalData

Data Insights

The gold standard of business intelligence.

Find out more

It added Gad’s difficulties were partly a result of it “struggling” to compete with rivals in northern Europe able to discount on prices due to wage levels being up to three times lower than in France.

Gad, which has accumulated debts of around EUR100m (US$135.6m), went into administration in February. The company employs 1,700 staff.

One of its two abattoirs – located at Lampaul-Guimiliau in Brittany – will close, as will a cold meats plant and Gad’s HQ. The company will operate from a single site where almost 350 jobs could be created.

See Also:

Had the court rejected the plan, Gad would have faced liquidation.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

Gad posted a 2012 turnover of EUR453m and processed 2.4m pigs.