IT WAS the news they had all dreaded and many expected. But the announcement that hundreds of jobs had been axed still left Black & Decker's workforce devastated.

After the confirmation of the dire news in the staff canteen, many filed outside, shock etched on their faces. They gathered together in small groups - friends who had survived the cull commiserating with those who hadn't.

When the factory opened in 1965, workers felt confident because they were employed by such a big company. Black & Decker was an American giant. Its products were the envy of the world. Spennymoor was its flagship manufacturing site outside the United States. A job there was the next best thing to a job for life.

Manufacturing power tools seemed to offer hope in an area suffering from the decline of traditional industries like mining. Black & Decker was the future.

It was a company that offered excellent wages, and training that included a university education.

Black & Decker never passed up an opportunity to praise its British workers.

Nolan Archibald, president and chief executive, said after a tour in 1999: "Your attitude and quality standards are very high. We can all learn from you. North-East workers continue to show the way forward for Black & Decker's thousands of employees around the world."

The same year, many staff felt insulted when they opened their wage packets and discovered a profit related bonus - of £3.50.

When the workforce achieved record-breaking productivity levels in 2000, plant manager Barry Bloomer said: "Black & Decker was always aware of the outstanding workforce here."

Soon that outstanding workforce will be reduced by two thirds - unable to compete with low wage earners in the Czech Republic. Those staff who are left will be reduced to making component parts.

Lynn Heslington, 29, from Spennymoor, sat on the grassy knoll outside the factory. A few minutes earlier she'd received the news that her services would no longer be required.

"It has come as a big shock," she said, a look of resignation on her face. "We found out through The Northern Echo this morning. We are disappointed that we had to read it in a newspaper. We should have been told first.

"We actually work on the assembly line with DeWalt products that were switched to Spennymoor after Black & Decker closed a plant in Italy. They told us that the DeWalt production line was safe. So much for promises.

"We did not expect it to be this bad. It is not just the workers at Black & Decker this is affecting but other companies which deal with us."

Kenny Smith, 41, also from Spennymoor, has worked for Black & Decker for the past 12 years. He has been told his job is safe but still feels for his friends who will be made redundant.

Still, he has no illusions about the long-term future: "I should be okay for the time being but you never know. There have been a lot of rumours going around during the last six to 12 months and they have just been confirmed today."

Twenty-year-old Christopher Marshall, from Newton Aycliffe, sat on a bollard by himself staring in disbelief, trying to take in the announcement.

He is one of 400 agency workers who will lose their jobs in the coming weeks.

He said: "I didn't think it would be so drastic. They said we would have two weeks at the most before they started laying people off and then people would be going on a weekly basis. I will just have to go out and find another job."

Bishop Auckland MP Derek Foster arrived at the site at 12.30pm to talk to company bosses.

Norman Vaulks, chief executive of Sedgefield Borough Council, council leader Brian Stephens and cabinet member for regeneration, Coun Bill Waters, also turned out to the factory in a show of support. No one blamed them for what had happened. Anger was reserved for Black & Decker - but nobody thought they could do much to help.

Coun Waters said: "This is devastating. We have all got to work together and help the people who have been made redundant.

"It has come so close to Christmas. How do these people tell their children they will have no Christmas presents because their parents are out of work?

"We need the Government to make a major investment in the area."

Derek Cattell, regional organiser with the GMB union, backed the calls. He said: "Unions are not recognised at Black & Decker but we do have members at the factory. The Government needs to step in and help."

Gradually, the workforce trudged home, still struggling to come to terms with the news the morning had brought. The same thought was echoing in their heads: "What do we do now?