Scotland's national team kit manufacturer Diadora UK has been forced into receivership.
Already reeling from the failure of SPL broadcaster Setanta, the SFA learned Diadora had called it a day and axed all of their British employees. Their deal with Scotland had a year to run and the SFA are still due money for the final 12 months of the agreement which is tied in on the performance of shirt sales.
If Scotland reach the World Cup finals, shirt sales could soar and if Diadora can’t supply, it could cost the SFA £1.5million. SFA spokesman Rob Shorthouse said: “We are speaking with their guys in Italy about the terms of our contract now that Diadora UK has gone into liquidation. We’re aware a receiver has been appointed so we’re now discussing the best way forward.
“We are up to date with the money they were due us for the first two years but they have still to pay up for the final 12 months of the deal.
“It was always the case that when we entered into the final year of the contract we were allowed either talk to Diadora about extending it or enter into discussions with other parties.
“Clearly with what has happened we are in a position where we are now speaking with other companies.”
The partnership between the national team and Diadora began in June, 2003 and a new Scotland away kit was launched in March before the World Cup qualifier against Holland in Amsterdam. But the company started to get into difficulties earlier this year and a hint of things to come came last week when Berwick were forced to change their kit supplier.
Berwick director Callum Porteous said: “Diadora felt they weren’t able to fulfil our requirements and we’re delighted we were able to source a quality replacement in Hummel this late in the day.”
SFA officials have begun talks in a bid to find a new kit manufacturer but Shorthouse confirmed the national team will continue to wear Diadora strips in the three remaining qualifiers against Norway in Oslo next month and Macedonia and Holland at Hampden in September.
He added: “The crucial thing is that we still have plenty of kit available.
“There’s no question the players will be forced to run out for matches in their own shorts and t-shirts.”
South of the border, the signs of problems had been there for a while, with key contracts like those at Preston (now with Canterbury)and Watford (now with Joma) being lost and the demise of clubs like Stockport County leaving Diadora UK out of pocket.