TWO Langley Moor firms are closing with the loss of up to 221 jobs.

Durham Dairy, at Stonebridge, is expected to close within 90 days following the sale of the business which was announced on Monday.

The news came only six days after Colway Tyres, at Littleburn Industrial Estate, called in the receivers with the loss of 112 jobs.

Express Dairies only acquired the 51-year-old Durham Dairy site in 1999 but its sale to Associated Co-operative Creameries, for £5m, will mean the loss of up to 109 jobs.

A company spokesperson said the sale will result in the proposed closure of the Durham Dairy, subject to consultation, 'reflecting the need to rationalise its fresh milk business.'

Arrangements for the delivery of milk will not be affected by the closure of the diary, with Associated Co-operative Creameries taking over the task from Express.

On Monday, Peter Kirkpatrick, Express Dairies' group executive, said: "We regret the need to announce the proposed closure of the dairy. We will be helping affected employees with a comprehensive programme of support. All those involved are being advised today and the employees' trade union representatives are being consulted.

"Our intention is to give full support to affected staff to help them find alternative employment subject to the consultation process."

Company representatives were due to meet officials of the union Usdaw to discuss the redundancy details this Thursday.

Usdaw regional representative Joanne Thomas said she was 'extremely disappointed' at the news, 'not only for the members, but also for the history of it.'

She said: "I'll be speaking to people in the dairy industry in the area to see if we can secure any jobs for the workforce at Durham."

Associated Co-operative Creameries will retain six depots and 30 staff in the region as part of the deal with Express Dairies.

Meanwhile, Davey Hall, regional secretary of the Amalgamated Electrical and Engineering Union which represents around 100 members at Colway Tyres, said: "It will be the union's intention to make an application for a protective award - to secure payment of wages if the company cannot pay - on behalf of AEEU members."

The firm's holding company, Environmental Waste Solutions Ltd, based in Newton Aycliffe, was also taken into receivership. Bosses blame a collapse in the re-tread tyre market for the closure.

KPMG Corporate Recovery in Newcastle is maintaining a core team of 24 at Colway while seeking a buyer for the business.

Colway Tyres suffered from a strong pound and cheap imports. It was the last British-owned tyre firm in the country