The workforce at a Midland automotive firm is to be almost halved following its takeover over by a Lancashire rival.
Around 70 jobs are due to be lost at Lander Carlisle after it was bought by Accringtonbased AAT for an undisclosed sum. Lander, which makes plastic interior and exterior components for customers, which include Land Rover, employs 150 people at sites in Cradley in the Black Country and Woodgate Valley in Birmingham.
But the firm has suffered declining sales as well as being affected by the end of MG Rover production at Longbridge.
AAT said it planned to consolidate the operations on one site and rename the company AAT Midlands.
AAT Midlands and AAT will have a combined turnover of over £15 million servicing primarily automotive OEMs and tier one system suppliers.
Managing director Tony Cox said the two businesses were complimentary with AAT also producing interior and exterior plastic trims for customers including Jaguar and Land Rover.
He said: "We have been in discussions with Lander for a while and we knew the business was having a difficult time.
"This is major acquisition for us and although there will need to be some degree of consolidation at the two Midland sites, in the longer term a stronger and more capable business will emerge.
"I am a great believer that British manufacturing is not shot to bits. It is having a difficult time, but if we consolidate we can go on from there.
"This consolidation was necessary because the business had shrunk. Two sites cannot really be supported by the business."
Mr Cox declined to reveal which site was likely to close, due to ongoing discussions with the trade union representing the workers.
Meanwhile the loss of 150 jobs at Leoni Wiring Systems in Newcastle-under-Lyme has been condemned by union leaders. The company blamed increased global competition for the reduction in staff from 350 to 200.
It said: "The market based economic pressure facing automotive suppliers is extreme and, in order to remain globally competitive, it is vital for the company to reduce its business administration expenses and general operating costs."
Leoni Wiring Systems acquired the business with approximately 1,800 employees in March 2000. Margaret Armstrong, T&G regional industrial organiser, said the latest round of cuts meant the site had been reduced by nearly 90 per cent in just five years.
The T&G pledged to do all that was possible to maximise the redundancy terms and was considering industrial action.
Pete Grocott, the T&G convenor at the site, said. "This announcement reneges on the company's long-term commitment that the Newcastle site would remain a competence centre and, therefore, an integral part of Leoni's global development capability supporting overseas facilities."
Ms Armstrong said: "The T&G knows full well the pressures on the car industry but those pressures were there when Leoni gave us long-term commitments on jobs and work at the Newcastle site."