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| Diageo cuts 900 jobs in Scotland | Diageo cuts 900 jobs in Scotland |
| (21 minutes later) | |
| Drinks giant Diageo has announced it is to cut about 900 jobs in Scotland. | Drinks giant Diageo has announced it is to cut about 900 jobs in Scotland. |
| The posts will go under a restructuring that will see the closure of its Port Dundas distillery in Glasgow and a packaging plant in Kilmarnock. | The posts will go under a restructuring that will see the closure of its Port Dundas distillery in Glasgow and a packaging plant in Kilmarnock. |
| The company, which has its headquarters in Edinburgh, said the closures would take place over the next two years. | |
| Diageo said the job losses would be offset by the creation of about 400 new jobs through the expansion of a packaging plant in Fife. | |
| The firm said a £100m investment programme would also see a new coopering centre created in Clackmannanshire. | |
| Bryan Donaghey, managing director of Diageo Scotland, said: "These decisions have been extremely difficult to take. We have only reached them after an exhaustive review of all the possible alternatives. | |
| 'Difficult time' | |
| "I am sorry for the impact this announcement will have on our employees and their families in Kilmarnock and Glasgow and the difficulty this will cause in Kilmarnock, where we are a major employer. | |
| "We believe the plans announced today will help secure the sustainability of our business in Scotland. | |
| "We will do everything we can to support our employees through this difficult time. | |
| "We will also work closely with local political and community leaders in Kilmarnock so that together we can seek to address the impact this announcement will have on the town." | |
| Last month Diageo, whose brands include Guinness, Smirnoff Vodka and Johnnie Walker whisky, said that markets around the world had weakened. | |
| It reported that sales were down 7% in the three months to the end of March. |