Three years after it was last rescued, French kitchenware manufacturer Duralex has once again been placed in receivership on Wednesday, April 24. The commercial court of the central French city of Orléans also called for a six-month observation period, aimed at finding a buyer for the company, with the next date set for June 5, 2024. This is the fourth time in 20 years that the future of Duralex and its 230 employees has been in jeopardy, and with each episode, the problem becomes more complicated.
Famous for its ultra-solid canteen glasses, the company, based in a suburb of Orléans, had been held by La Maison Française du Verre, which also runs the glassware brand Pyrex, since 2021. Backed by the European investment fund Kartesia, it had taken over Duralex following proceedings in court, and at the time its project, judged to be sound, had given rise to high hopes. "We were proud to be acquired by another glassmaker, we believed in it, and we thought we were finally going to pull through," summed up one employee (those not named have requested to remain anonymous). "For us, this is a crushing blow, and we're all the more disappointed."
The new owner had pledged to invest €17 million over three years to revive operations, and all without any job cuts. Yet the company was soon affected by the war in Ukraine and the energy crisis. In 2022, the glassworks, which consumes a lot of electricity and gas, faced skyrocketing bills. Saddled with a supply contract with very unfavorable terms, it ended up calling on the French government for help.
The economy ministry granted it a loan of €15 million, and Duralex shouldered the burden, putting its furnace on standby for five months to limit the damage. The glass manufacturer then hoped to get off to a better start but once again, nothing went according to plan. Inflation and falling consumer spending affected sales. In 2023, the company's turnover plateaued at less than €26 million, down from the figure of €29.4 million achieved in 2022.
In this turbulent context, the challenge of getting Duralex back on track proved impossible. Management has preferred to throw in the towel, "in order to preserve the company's interests." "Despite operational efforts and ongoing investments, losses could not be stemmed," the company said in a press release, without disclosing the extent of the deficit.
This defeat adds to the long list of setbacks Duralex has suffered since the late 1990s. Before its downward spiral, Duralex's inexpensive, impact-resistant tempered glassware had been a hit with canteens and cafés, and had conquered foreign markets. Some of its models have even become iconic, such as the famous Le Gigogne glass or the timeless Le Picardie.
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