Law firm buys time with lenders for restructuring

LOSS-making law firm Slater & Gordon, which has an office in Manchester and employs 3,800 people across the UK, has struck a deal with its lenders so it can carry out a restructuring plan.

The Australian company said the agreement gives its turnaround proposals a seal of approval.

Managing director Andrew Grech said: “We are both very pleased and grateful for the strong level of support that we have received from our lending group.

“We remain focused as a management team, on executing our performance improvement program across the business to improve profitability and cash flow, and reduce debt.

“We are confident that the amendments we have entered into today with our lending group provide us with the flexibility and time to execute and continue our performance improvement program.”

Slater & Gordon reported a net loss of £492.5m in February as a result mainly of a massive impairment charge and underperformance in its UK operations.