THE management of Hygrade Foods has denied rumours that the company, taken over by a Danish firm last year, is planning to close its plants in Devizes and Chippenham.

The cooked meats firm, privately owned for many years by businessman John Bigwood, was sold to Danish Crown, also trading as Tulip Limited, last May.

But recently rumours have been circulating that the warehouse and distribution centre in Nursteed Road, Devizes, would close later this year and the plant in Westmead Lane, Chippenham, would close in 2006.

However, sales and marketing director Geoff Smith was unequivocal in saying that there were no plans to downsize the Wiltshire operation.

He said: "After mergers and sales there are always rumours flying around and I am delighted to say that there is no truth in this one.

"We have never invested so much in the Chippenham plant as we have done in recent years. From the workforce point of view, there is no way we will be reducing our staff."

The company has two plants in Chard, Somerset, one in Corsham and one in Chippenham in addition to the distribution depot in Devizes.