Nith Valley Co-op set to join Group

DIRECTORS of the small independent Nith Valley Co-op in the west of Scotland are seeking a transfer of engagements to the Co-operative Group as a means of tackling a growing pensions deficit triggered by Government legislation.

Although the Ayrshire society, which operates four food and six non-food stores plus a Post Office in and around New Cumnock, is generating small profits, the board are concerned that a pension ?black hole&#039 which now stands at &#163 750,000 will eventually lead to the co-op becoming insolvent and are not prepared to see the society&#039s assets dissipated in this way.

The proposed transfer to Scottish Co-op, which already operates stores in nearby Mauchline, Muirkirk, Auchinleck and Dalmellington, has already been approved by the directors of the Co-operative Group and now only requires the agreement of Nith Valley members at a series of meetings throughout January.