Turkish delight for Clyde Process Solutions

CLYDE Process Solutions today said that it had resolved a 13-year-old dispute with a Turkish group which will add almost £1m to its earnings this year.

The Doncaster-based group which supplies pneumatic conveying and air filtration products for process industries across the globe, had been in dispute with a supplier of fertiliser products in Turkey to which it had supplied material handling systems for its plant.

The customer had refused to pay the full price for the contract and so Clyde had started legal proceedings 13 years ago and despite “relentlessly” pursuing its debt, had provided for the cost of the bad debt in its accounts.

However the successful culmination of the long legal action against the Turkish group has seen it receive the full amount it was owed in cash plus an award from the Turkish courts and interest covering the 13 years the money has been owed which in total is £900,000.

The money allows Clyde to release the bad debt provision it had included on its balance sheet.

Alex Stewart, chief executive of Clyde Process Solutions, said: “We are delighted to close this contract after a thirteen year period and I wish to thank, in particular, our legal and commercial teams for their perseverance and determination in securing this outcome. This recovered item will contribute an additional unforecasted £0.9m to our earnings result and also strengthens our cash flow in this current financial period.”