Sara Lee is in trouble! What does it mean for your favourite Australian dessert?
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For many Australians, the Sara Lee brand likely stirs up fond childhood memories. Their frozen cheesecakes, crumbles, and ice cream desserts have been dessert table staples for decades.
But now, this beloved brand is facing an uncertain future.
Sara Lee Australia went into voluntary administration last Tuesday, October 17, appointing management consultants FTI Consulting to oversee the sale or restructure of the business.
But what does voluntary administration mean? Essentially, an independent advisor is appointed to assess a company's financial situation. They will work to either sell off company assets to pay creditors or restructure and save the business.
According to Vaughan Strawbridge, one of the new administrators, Sara Lee still employs 200 staff in its New South Wales factory.
‘We are working with Sara Lee’s management team and staff to continue operations while we secure the future of the business,’ Strawbridge said.
‘We are immediately commencing a process to sell or restructure the business and continue its long history of manufacturing in Australia,’ he added.
‘We expect a lot of interest in the business and will work with those parties and stakeholders to achieve an outcome as soon as possible to secure the ongoing business and provide clarity to its loyal and committed staff and customers,’ he assured.
The company was founded in Lisarow, New South Wales and has operated since 1971, establishing itself as a quality frozen dessert brand stocked in supermarkets nationwide.
They have since expanded beyond Australia, now trading in New Zealand, the Middle East and Southeast Asia.
The company Sara Lee, which was named after its founder's daughter, produces around 200,000 cakes and pastries every day.
For devoted fans of the brand, the news of the company's struggles has come as a disappointment.
'This is the saddest news I've heard all year. I can't live without my Sara Lee cheesecake,' one fan wrote on social media.
‘The hospital I frequently haunt has a long-standing deal with Sara Lee for patient desserts. This will affect hospitals, nursing homes, and all sorts of places,’ another social media user pointed out.
So, should loyal customers stock up on their Sara Lee favourites just in case? It's hard to say just yet.
The voluntary administration process will take some time. Administrators remain hopeful that selling the business will preserve Sara Lee's Australian manufacturing operations and staff jobs.
While the future is still uncertain, perhaps an Australian buyer will emerge, keen to snatch up this historic dessert brand and keep it going strong. Sara Lee may have a chance at survival yet.
What are your memories of enjoying Sara Lee desserts over the years? Share them in the comments below.
But now, this beloved brand is facing an uncertain future.
Sara Lee Australia went into voluntary administration last Tuesday, October 17, appointing management consultants FTI Consulting to oversee the sale or restructure of the business.
But what does voluntary administration mean? Essentially, an independent advisor is appointed to assess a company's financial situation. They will work to either sell off company assets to pay creditors or restructure and save the business.
Sara Lee Australia went into voluntary administration last Tuesday, October 17. Credit: @saraleeau/Instagram
According to Vaughan Strawbridge, one of the new administrators, Sara Lee still employs 200 staff in its New South Wales factory.
‘We are working with Sara Lee’s management team and staff to continue operations while we secure the future of the business,’ Strawbridge said.
‘We are immediately commencing a process to sell or restructure the business and continue its long history of manufacturing in Australia,’ he added.
‘We expect a lot of interest in the business and will work with those parties and stakeholders to achieve an outcome as soon as possible to secure the ongoing business and provide clarity to its loyal and committed staff and customers,’ he assured.
The company was founded in Lisarow, New South Wales and has operated since 1971, establishing itself as a quality frozen dessert brand stocked in supermarkets nationwide.
They have since expanded beyond Australia, now trading in New Zealand, the Middle East and Southeast Asia.
The company Sara Lee, which was named after its founder's daughter, produces around 200,000 cakes and pastries every day.
For devoted fans of the brand, the news of the company's struggles has come as a disappointment.
The brand is known for its desserts, pastries and cakes. Credit: @saraleeau/Instagram
'This is the saddest news I've heard all year. I can't live without my Sara Lee cheesecake,' one fan wrote on social media.
‘The hospital I frequently haunt has a long-standing deal with Sara Lee for patient desserts. This will affect hospitals, nursing homes, and all sorts of places,’ another social media user pointed out.
So, should loyal customers stock up on their Sara Lee favourites just in case? It's hard to say just yet.
The voluntary administration process will take some time. Administrators remain hopeful that selling the business will preserve Sara Lee's Australian manufacturing operations and staff jobs.
While the future is still uncertain, perhaps an Australian buyer will emerge, keen to snatch up this historic dessert brand and keep it going strong. Sara Lee may have a chance at survival yet.
What are your memories of enjoying Sara Lee desserts over the years? Share them in the comments below.
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