London, Feb. 10 (ANI): Prince Charles's organic food firm Duchy Originals incurred losses worth 3.3 million pounds in 2009. The cash-strapped company had to borrow 1.5 million pounds from the heir to the throne's charities foundation to keep going.
Duchy Originals, which the Prince created in 1990 in an effort to prove there was a market for organic food, is supposed to donate its profits to the Prince's Charities Foundation, its ultimate owner.
But, according to accounts shown, it has failed to do so for the past two years, the Daily Express reports.
Duchy Originals has handed over seven million pounds to charities since its inception, but the firm has been hit hard in the last couple of years by a 25 per cent drop in demand for organic food after claims that it was no better than ordinary food, and a sharp rise in the cost of ingredients.
In September, supermarket giant Waitrose tried to bail the firm out after signing an exclusive licensing agreement to originate, manufacture, distribute and sell Duchy Originals products.
Charles put up a brave face by increasing its product range from 200 to 500 items in order to generate more money for his charities.
The losses of 3.27 million pounds and the 1.5 million pound loan are disclosed in the accounts for the year ended March 31, 2009.
Charles's spokesperson has admitted that his charitable foundation has continued to support the firm financially in the year since then.
"It temporarily -supported the cash flow. That support has continued into this financial year. The money will be repaid in the near future," she said. (ANI)