ONE of Stourport's oldest companies has announced it is to close its doors with a loss of 90 jobs - ending a link of almost 80 years with the town.

The majority of staff at Parsons Chain, who were made aware of the decision on Monday, will be out of work by the end of next month, when production will cease.

A small number of workers will stay at theWorcester Road firm, which is part of the international FKI group, until this September when the site is vacated.

Andy Taylor, the Amicus union representative consulting with the company's management, said the workforce had been bracing itself for Monday's grim news but the suddenness of the decision had left many "shocked".

He explained: "The decision has been made by FKI after a strategic review. We are very disappointed they do not see chainmaking as a core part of the business any more. That is what it all comes down to.

"The only hope now is someone coming along and buying the business, but that looks extremely remote. There are a number of long-serving employees with the company and everyone is very disappointed. It is another big blow for manufacturing in Stourport and Kidderminster."

Mr Taylor believed some staff could be relocated to other parts of FKI's business but added "not very many".

Parsons Chain, which celebrated its centenary in 2003, has had a prominent place in Stourport's economy since moving to the town in 1927.

In its heyday, the company employed more than 1,100 people, supplied the former National Coal Board with 20 million links each year and exported to more than 50 countries.

Stephen Clee, leader of Wyre Forest District Council and a member of Stourport Town Council, was "very surprised" by the news.

A spokesman for the FKI group confirmed the company would vacate the premises later this year and up to 90 jobs "could be lost as a consequence".