Nascent Wine Company streamlines operations
Nascent Wine Company, doing business as Nascent Foodservice, a distributor of imported branded food and beverage products in Mexico, has announced that it is streamlining and downsizing operations with a view toward enhancing operating efficiencies and improving cash flow.
In December 2008, Nascent's board determined to implement a restructuring plan, including reducing the employee workforce by approximately 90 employees, or 45%, and closing certain under-performing warehouses.
As previously reported in December 2008, Peter White was granted an indefinite leave of absence as CFO, and he resigned as a member of the board of directors. Mr White will continue to provide consulting services to Nascent on an as needed basis. Sandro Piancone, Nascent's CEO, assumed the duties of CFO on an interim basis.
Mr Piancone said: "The downsizing has been necessitated by a decrease in our sales, the recent devaluation of the peso, and the difficult environment for borrowing and raising capital. We plan to improve our margins and cash flow by sourcing more competitively priced new products, consolidating our existing branded and private label products and streamlining our product distribution. We are excited about the long-term prospects of Nascent and look forward to exploiting our position as a leading distributor of imported branded food and beverage products in Mexico."