I want to give a special thanks to my principal source for this page. BankruptcyData.com provides on-line access to information on thousands of corporate bankruptcy filings from about 80 federal bankruptcy districts (United States only). If you would like to assemble a dataset of defaults for your own research/modeling, look at what they can offer.
Credit Distress Cases Archive: 3rd Quarter, 2001
NAB Asset Files Chapter 11 -- Sep 28, 2001
On September 26, 2001, NAB Asset Corporation filed a voluntary petition for bankruptcy protection under Chapter 11 of the U.S. Bankruptcy Code in the U.S. Bankruptcy Court for the Northern District of Texas (Case No. 01-37898). The Company remains in possession of its assets and properties and its business and affairs will continue to be managed by its directors and officers, subject to the supervision and orders of the Bankruptcy Court.
Exodus Communications, Inc. Files Chapter 11 -- Sep 27, 2001
Exodus Communications, Inc. announced today it has filed voluntary petitions for reorganization under Chapter 11 of the U.S. Bankruptcy Code. The filing will enable Exodus to focus on operating its business and serving its customers while it develops a plan of reorganization to provide a suitable capital structure for long-term growth. The company also announced it has received a commitment for up to $200 million in debtor-in-possession (DIP) financing from GE Capital which will be used to fund post-petition operating expenses and supplier and employee obligations. The company filed its voluntary petition in the U.S. Bankruptcy Court for the District of Delaware in Wilmington. The filing includes the company's domestic operations headquartered in Santa Clara, Calif.
Renaissance Cruises Files Chapter 11 -- Sep 27, 2001
Renaissance Cruises, Inc. filed for Chapter 11 protection with the U.S. Bankruptcy Court. The Company is represented by Paul Steven Singerman of Berger Singerman. The Company blamed the filing on cash flow difficulties and a dramatic reduction in bookings following the September 11th terrorist attacks.
Galaxy Telecom Announces Agreements, Files Chapter 11 -- Sep 21, 2001
Galaxy Telecom, L.P. announced that it has entered into agreements with its bank lenders and the holders of in excess of two-thirds in principal amount of its 12 3/8% Senior Subordinated Notes Due 2005 on a prepackaged bankruptcy plan that will restructure Galaxy's existing debt and equity. According to published reports, the Company filed for Chapter 11 protection with the U.S. Bankruptcy Court in the Eastern District of Missouri.
Genesis Worldwide Agreement, Chapter 11 Filings Announced -- Sep 18, 2001
Genesis Worldwide, Inc. announced that it has executed an asset purchase agreement through which Pegasus Partners II, L.P. and KPS Special Situations Fund, L.P. will acquire substantially all the domestic assets and businesses of Genesis. The purchasers intend to operate the business through Genesis Worldwide II, Inc. as a going concern. To consummate the sale, the Company also announced that it and its subsidiaries, Precision Industrial Corporation; H-V Asset Management Corporation; Herr-Voss Corporation; GenInternational, Inc.; GenCoat, Inc.; H-V Technical Services, Inc.; GenSystems, Inc.; GenSystems Services, Inc.; H-V Mill Roll Services, Inc.; and H-V Roll Center, Inc., have filed for Chapter 11 protection with the U.S. Bankruptcy Court with the Southern District of Ohio, Western Division. The Company also announced today it has arranged a $6 million debtor-in-possession credit facility to be provided by Pegasus and KPS, subject to Court approval. The DIP financing will be used for employee salaries and benefits, materials and services from vendors, ongoing operating expenses and other working-capital requirements necessary to fund the company's operations through the closing of the sale.
North Lily Files Chapter 11 -- Sep 18, 2001
North Lily Mining Company filed for Chapter 11 protection with the U.S. Bankruptcy Court in the District of Colorado. The Company stated that it has signed a letter agreement with a lender interested in marketing and providing financing for North Lily's approximate 7000 acres of rural Utah properties. In addition, the Company has ceased pursuit of the planned merger and finance arrangements with Captains Management, Inc. and with Riverdale Financial/Telecontrol Systems, Inc.
International Total Services Files Chapter 11 -- Sep 17, 2001
International Total Services, Inc. announced that it and its domestic subsidiaries filed voluntary petitions for Chapter 11 protection with the U.S. Bankruptcy Court in the Eastern District of New York. The Company also announced that it has signed a letter of intent with Brantley Partners IV, L.P. and Service Management Systems, Inc. contemplating the sale of certain assets of ITS. ITS further stated that it is seeking Court approval of a cash collateral order that will enable it to use cash on hand, cash equivalents and anticipated cash collections to fund employee salaries and benefits, post-petition materials and services from vendors, ongoing operations and other working capital needs. At the same time, the company is continuing to negotiate with its lenders for a Debtor-in-Possession credit facility.
Family Wonder Files Chapter 11 -- Sep 13, 2001
Family Wonder Holdings, Inc. filed for Chapter 11 protection with the U.S. Bankruptcy Court in the District of Delaware, listing total assets and liabilities between $10 million and $100 million each. Affiliates Family Wonder, LLC and Family Wonder, Inc. also filed Chapter 7 petitions with the District of Delaware.
Homeland Stores Files Chapter 11 -- Sep 10, 2001
Homeland Stores, Inc. filed for Chapter 11 protection with the U.S. Bankruptcy Court in the Western District of Oklahoma. The case number is 01-17869, and Judge TeSelle is presiding. The Company is represented by Judy Hamilton Morse.
Breakaway Solutions, Inc. Files Chapter 11 -- Sep 7, 2001
Breakaway Solutions Filed Chapter 11 on September 5, 2001 in the U.S. Bankruptcy Court, District of Delaware after disclosing the resignation CEO William Loftus and Sr. Vice-President John Loftus. In March the Company closed offices in London and Denver and laid-off 180 employees. According to reports Breakaway is seeking a buyer if the Company's assets. Wayne Weisman will temporarily become CEO.
Stonebridge Technologies Files Chapter 11 -- Sep 7, 2001
Stonebridge Technologies, a provider of technology consulting and enterprise integration services, announced the company's plan to sell substantially all of its assets. A buyout group led by the company's current CEO, James Ivy, is preparing an offer. Terms of the proposed sale were not disclosed. To facilitate the asset sale and realize the highest value for its creditors, Stonebridge has voluntarily filed a petition for reorganization under Chapter 11 of the U.S. Bankruptcy Code. The petition was filed today in the U.S. Bankruptcy Court for the Northern District of Texas in Dallas. "The proposed asset sale and subsequent recapitalization provide an excellent opportunity for realizing the underlying value of Stonebridge Technologies' business solutions and strong customer base," said James Ivy, president and chief executive officer of Stonebridge, and leader of the buyout group. "Effecting the sale through a Chapter 11 filing is necessary to relieve our balance sheet of the high debt burden we have been carrying over the past few years."
Regal Cinemas Inc. to File Chapter 11 -- Sep 6, 2001
Regal Cinemas Inc., announced that it would file for bankruptcy and would seek creditor approval for a plan that would restructure its $2 billion in debt and commence a voluntary bankruptcy filing within the next 45 days. The Chapter 11 bankruptcy plan includes general unsecured creditors with cash payments of up to $75 million. The company further stated it plans to maintain business operations throughout the bankruptcy process and intends to complete its reorganization within 60 to 90 days of its bankruptcy filing. According to reports, the plan would allow the bulk of Regal's estimated $2 billion in debt to be paid off, including unsecured trade creditors who are often low in the pecking order in a bankruptcy filing.
DelSoft Files Chapter 11 -- Aug 31, 2001
DelSoft Consulting, Inc. announced that the Company filed a voluntary petition for relief under Chapter 11 of the United States Bankruptcy Code with the U.S. Bankruptcy Court in the District of New York. The case number is 01-14782. As required the Company has already advised the NASD and expects that its trading symbol will be changed to "DSFTQ."
Covad Files Plan -- Aug 29, 2001
Covad Communications Group, Inc. announced it has filed its Plan of Reorganization and related Disclosure Statement with the U.S. Bankruptcy Court. As previously announced, holders of a majority of Company bonds have agreed in writing to vote in favor of the Plan. "The filing of these documents is a milestone for Covad as it brings the company closer to eliminating its $1.4 billion in long-term debt," commented Charles E. Hoffman, president and chief executive officer.
iDefense Files Chapter 11 -- Aug 28, 2001
iDefense, Inc. filed for voluntary Chapter 11 protection with the U.S. Bankruptcy Court in the Eastern District of Virginia (Alexandria), listing total assets and liabilities between $1 and $10 million each. The Company has reportedly arranged for debtor-in-possession financing from E-Capital Investments, PLC.
AmeriJet Files Chapter 11 -- Aug 28, 2001
Amerijet International, Inc. filed for Chapter 11 protection with the U.S. Bankruptcy Court in the Southern District of Florida (Ft. Lauderdale), listing total assets and liabilities of $50.4 million and $76 million, respectively.
Standard Media Inc. Files Chapter 11 -- Aug 28, 2001
Standard Media Inc., parent of the Industry Standard magazine, filed for Chapter 11 bankruptcy protection on August 27, one week after ceasing publication of the magazine. Stating on the Company's web site that their is "considerable interest" in its assets, Standard Media is expected to use bankruptcy protection to liquidate. At its height, the Industry Standard employed more than 400 people and put out ad-stuffed issues which often exceeded 300 pages in length -- making it the fastest growing magazine in American history. The magazine published 7,558 advertising pages, a U.S. publishing record, making for 2000 revenues of more than $140 million.
National Record Files Chapter 11 Aug 27, 2001
National Record Mart, Inc. consented to the entry of an Order For Relief under Chapter 11 of the Bankruptcy Code with the U.S. Bankruptcy Court. As a debtor-in-possession, National Record Mart will continue to operate its chain of 125 retail stores. In its Chapter 11 case, National Record Mart anticipates that it will restructure its debt obligations, or pursue other opportunities to maintain the going concern value of its operations.
Derby Cycle Files Chapter 11 -- Aug 23, 2001
Derby Cycle Corp. filed for Chapter 11 protection with the U.S. Bankruptcy Court, listing total assets and liabilities of $162.1 million and $207.2 million, respectively.
Mbrane Files Chapter 11 -- Aug 23, 2001
Mbrane, Inc. filed a voluntary petition under Chapter 11 of the United States Bankruptcy Code in the U.S. Bankruptcy Court. The Company also announced that it has reached a definitive agreement with a publicly traded company in the mobile and embedded space to acquire certain Company assets. The purchaser has agreed to honor existing customer contracts, and intends to grow the business and continue to enhance the company's key product lines, RDM and Velocis (trademarks). The sale is pending an U.S. Bankruptcy Court auction and Court approval.
Ames Files Chapter 11 -- Aug 21, 2001
Ames Department Stores, Inc. announced that it has filed for voluntary reorganization under Chapter 11 of the U.S. Bankruptcy Code with the U.S. Bankruptcy Court in the Southern District of New York, reportedly in order to focus resources on the Company's nucleus of stores. Ames enters reorganization with two completed agreements for D.I.P. credit facilities totaling $755 million, one with GE Capital for $700 million and one with Kimco Funding LLC for $55 million. These combined facilities, upon Court approval, will provide for the Company's ongoing operations and for payment of post-petition receipt of merchandise.
WCO Files Chapter 11 -- Aug 21, 2001
World Commerce Online, Inc. filed for protection under Chapter 11 of the Bankruptcy Code with the U.S. Bankruptcy Court. The Company stated that it has not attained sufficient cash flow from operations to fund the on-going business and additional bridge loan financing that heretofore had been secured during the latter half of 2000 and the first seven months of 2001 was not available. Consequently, the Company was not able to fund the current operating costs of the business or meet the near term obligations of existing unsecured creditors.
DEC Files Chapter 11 -- Aug 21, 2001
DEC International, Inc., parent company of Bou-Matic, is asking the U.S. Bankruptcy Court in Madison, Wisconsin to allow it to reorganize under the rules of Chapter 11. The Company's petition lists total assets and liabilities of $61 million and $59 million, respectively. Two of DEC's wholly owned subsidiaries, Select Products and Rapidpak, also filed for Chapter 11 protection. Sames Files Chapter 7
Sames Corp. announced that it filed for voluntary bankruptcy under Chapter 7 of the U.S. bankruptcy law with the U.S. Bankruptcy Court in the Northern District of Illinois, Eastern Division. In May, the Company announced that its French subsidiary Sames S.A. filed for bankruptcy protection under French law due to severe cash flow problems and a lack of liquidity.
McCook Metals Files Chapter 11 -- Aug 21, 2001
McCook Metals, Inc. filed for Chapter 11 protection with the U.S. Bankruptcy Court. The Company is reportedly still negotiating debtor-in-possession financing from GE Capital Corp.
Vitech Files Chapter 11 -- Aug. 20, 2001
Vitech America, Inc. has filed a voluntary petition for bankruptcy protection under Chapter 11 of the U.S. Bankruptcy Code with the U.S. Bankruptcy Court in the Southern District of Florida. The case number is 01-18857. The Company's Brazilian operating subsidiary, Microtec, was not part of the filing. The Company stated that it expects to continue its ongoing day-to-day operations while it uses the reorganization process to protect itself from the judgment given to Gateway in its New York case against Vitech while allowing Vitech to proceed with its Florida case against Gateway. The goal will be for Vitech to have adequate relief from Gateway and other creditors to regain the financial strength it requires to continue to compete effectively.
AccuHealth Files Chapter 11 -- Aug 20, 2001
AccuHealth, Inc. announced that it and some of its units filed for Chapter 11 bankruptcy protection with the U.S. Bankruptcy Court in the Southern District of New York, just over a week after the Company suspended Securities and Exchange Commission reporting.
Covad Files Chapter 11 -- Aug 16, 2001
Covad Communications Group, Inc. announced that it has filed for reorganization under Chapter 11 of the Federal bankruptcy code in the U.S. Bankruptcy Court, as part of a voluntary, pre-negotiated plan to eliminate the Company's $1.4 billion in debt. The Company stated that it expects its DSL network and customers will remain unaffected throughout the filing period. In addition, holders of a majority of Covad's bonds have agreed in writing to the terms of a debt repurchase that, if approved by the court, would eliminate Covad's bond debt. This filing is intended, through Court approval, to bind 100 percent of Covad's bondholders to the transaction. "This filing is a tool to eliminate Covad's debt and significantly improve our ability to raise the additional capital we need to get to profitability," said Charles E. Hoffman, Covad's CEO. "Most importantly, this action does not affect our operations, customers, network or employees. It is business as usual for our broadband customers."
Midway Airlines Corp. Files Chapter 11 -- Aug. 15, 2001
Midway Airlines Corp. announced that it filed for Chapter 11 protection with the U.S. Bankruptcy Court and eliminated the positions of 700 employees. The Company's filing listed total assets and liabilities of $318 million and $232 million, respectively. The Company cited a slowing of traffic growth in the Raleigh-Durham International Airport area, lower fares, and "stubbornly" high jet fuel prices as contributing to the filing. Effective immediately, the Company will discontinue service to Buffalo and Rochester, New York; Dayton, Ohio; Pittsburgh; and Dulles airport. The Company will also eliminate service to Los Angeles, California; Birmingham, Alabama; Providence, Rhode Island; and San Jose, California in the near future.
Hotel Syracuse, Inc. Files Chapter 11 Aug. 15, 2001
Valdor Fiber Optics, Inc. announced that Hotel Syracuse, Inc., a wholly owned subsidiary, has filed for Chapter 11 protection with the U.S. Bankruptcy Court in order to restructure the finances of the Hotel and to explore other alternatives for refinancing and/or the potential sale of the hotel. HIS will continue its negotiations with prospective purchasers, subject to Court approval of any purchase and sale agreement which may be entered into.
GRG Files Chapter 11 Aug. 10, 2001
GRG, Inc. announced that it has filed a voluntary petition for relief under Chapter 11 of the Bankruptcy Code with the U.S. Bankruptcy Court in Tampa, Florida. Judge Alexander Paskay is presiding. GRGI commented that Company performance in recent years has been adversely affected by increased competition in the telecommunications industry as well as the other factors that have adversely effected the telecom industry.
Tristar Files Chapter 11 -- Aug. 10, 2001
Tristar Corporation announced that the Company has filed for and obtained bankruptcy protection under Chapter 11 petition with the U.S. Bankruptcy Court. The Company further stated that it has secured debtor-in-possession financing from its current lender and has a significant backlog of customer orders for the 2001 holiday season, which the Company anticipates fulfilling.
BuildNet Files Chapter 11 -- Aug 9, 2001
BuildNet, Inc. announced that it, along with six of its subsidiaries, has filed a petition for relief under Chapter 11 of the Bankruptcy Code with the U.S. Bankruptcy Court in the Middle District of North Carolina. The Company stated that the filing comes after HomeSphere withdrawal of its merger offer as a result of BuildNet's inability to reach agreement with creditors. According to published reports, the Company's chief executive officer, Nathan Morton, and chairman and founder, Keith Brown, have already resigned.
Edgewater Steel Files Chapter 11 -- Aug 9, 2001
Edgewater Steel, Inc. filed for Chapter 11 protection with the U.S. Bankruptcy Court, listing total assets and liabilities of $1 to $10 million each. In 1997, the Company was acquired by The Reserve Group at a U.S. Bankruptcy Court auction. In 1995, the Company was bought out by its employees and Erie Forge & Steel as part of a Plan of Reorganization for emergence from an earlier Chapter 11 filing. Company counsel Mark Freedlander, cited higher energy bills and decreased product demand and prices as contributing to the filing.
Covad to File Chapter 11 -- Aug 8, 2001
According to widely published reports, Covad Communications, Inc. announced intentions to file for "pre-negotiated" Chapter 11 protection with the U.S. Bankruptcy Court in an attempt to eliminate around $1.4 billion in liabilities. The Company stated that it has already proposed a restructuring plan to its bondholders and has offered to exchange bonds for a combination of cash and preferred stock. The Company further commented that its business operations, digital subscriber line network, and other customers services will be unaffected by the filing.
Mosler Files Chapter 11 -- Aug 7, 2001
Mosler, Inc. announced that it has filed a voluntary petition for protection under Chapter 11 of the U.S. Bankruptcy Code in the U.S. Bankruptcy Court for the District of Delaware. The Company commented that it made the filing in order to implement an orderly liquidation of its assets. While under Chapter 11 protection, the Company expects to initiate a process to sell substantially all of its assets, including real estate, machinery, inventory and equipment.
Apptus Files Chapter 7 -- Aug 7, 2001
Apptus, Inc. announced that it has filed for Chapter 7 protection with the U.S. Bankruptcy Court in Alexandria, Virginia, listing total assets and liabilities of $159,122 and $667,16, respectively.
Impower Files Chapter 11 -- Aug 7, 2001
Impower, Inc. has made a voluntary Chapter 11 filing in the United States Bankruptcy Court in New Jersey. Impower believes that the filing will allow it to operate its business in the normal fashion under Court protection while it continues discussions with representatives of certain major creditors and others on a restructuring plan. Impower cited the combination of a general economic downturn, a softening advertising environment, the demise of pure play Internet companies, and the Company's infrastructure costs as all contributing to the filing.
Snow Valley, LLC Files Chapter 11 -- Aug. 6, 2001
Snow Valley, LLC filed for Chapter 11 protection with the U.S. Bankruptcy Court in Riverside, California, listing total assets and liabilities of $4.9 million and $27 million, respectively. The Company, which is doing business as Snow Valley Mountain Resort, commented that the filing was the result of--among other things--lawsuits, substantial snow manufacturing costs, and significant permit fees.
Rhythms NetConnections Files Chapter 11 -- Aug 3, 2001
Rhythms NetConnections, Inc. announced that it has filed for Chapter 11 bankruptcy protection with the U.S. Bankruptcy Court. The Company further stated that it is in a voting agreement with holders of more than 60% of its notes that has established a reorganization process. The Company reportedly stated that if reorganization is not successful, the Company will be liquidated.
DIMAC Files Chapter 11 -- Aug 3, 2001
DIMAC Direct, Inc. announced that it has filed for Chapter 11 protection with the U.S. Bankruptcy Court in the District of Delaware. DIMAC intends to conduct a Court-supervised, orderly closure of its operations, the liquidation of its assets and distribution of the resulting proceeds to its creditors.
Intira Files Chapter 11 -- Aug 2, 2001
Intira Corp. filed for Chapter 11 protection with the U.S. Bankruptcy Court in the District of Delaware, listing total assets and liabilities of $112.9 million and $152.7 million, respectively. Brian Kushner, interim chief executive officer, stated that the Company's financial difficulties began with the overbuilding of data centers as well as the company's sampling of several businesses before deciding on hosting Internet computers.
Pioneer Files Chapter 11 -- Aug 2, 2001
Pioneer Companies filed for Chapter 11 protection with the U.S. Bankruptcy Court and in Montreal for its Canadian subsidiary. President and chief executive officer, Michael Ferris, commented, "Our liquidity eroded to the point that, regrettably, a restructuring of our indebtness became necessary." The Company reportedly announced that it has reached an agreement with senior secured creditors that provides for the exchange of $552 million in indebtness for $250 million in new debt, plus 97% of the reorganized Company's common stock.
Homeland Stores Inc. Files -- Aug 2, 2001
Chapter 11 Homeland Stores Inc. and its parent company, Homeland Holding Corp., filed for Chapter 11 bankruptcy protection Wednesday in federal bankruptcy court. The company has received commitments for a $48 million debtor-in-possession financing through Associated Wholesale Grocers and two other companies. `'The interim financing will ensure that we are in a position to fulfill our obligations during the proceedings and operate our stores without interruption," David B. Clark, Homeland's president, said. `'The filing today will not affect day-to-day operations at the stores in Oklahoma, the Texas panhandle and southern Kansas. The company will conduct business as usual throughout the process and remains optimistic it will emerge with a renewed ability to compete in the marketplace."
AMF Bowling Files Chapter 11 -- Aug 11, 2001
As anticipated, AMF Bowling Worldwide's parent, AMF Bowling, Inc. has now filed for Chapter 11 protection, following the July 2, 2001 filing by AMF Bowling Worldwide and certain operating subsidiaries.
Internet Commerce & Communications Files Chapter 11 -- Aug 1, 2001
Internet Commerce & Communications (Nasdaq:ICXXC), a national web solutions/e-commerce and connectivity company, announced today that it has filed for protection under Chapter 11 of Title 11, of the United States Bankruptcy Code. `'We strongly believe we can emerge from this proceeding a much stronger and viable company," said Douglas Hanson, Chairman & CEO of IC&C. `'As one of the largest investors, I thought long and hard about this decision, but in the end I felt this was the best course of action for our employees, our vendors and our shareholders." The company also announced that it is working with its secured creditor to provide the funds necessary to meet its on-going financial obligations. `'Our customers will continue to receive the excellent service they have become accustomed to receiving," Hanson further commented. `'In fact, I hope that this action will make us a formidable competitor in the market place."
Novo Announces Chapter 11 Filings -- July 31, 2001
Novo Networks, Inc. announced that its principal operating subsidiaries--Novo Networks Operating Corp.; AxisTel Communications, Inc.; and e.Volve Technology Group, Inc.--each commenced voluntary cases under Chapter 11 of the United States Bankruptcy Code with the U.S. Bankruptcy Court in order to stabilize ongoing operations and protect their assets. In addition, Novo announced that it has agreed, pending Court approval, to provide the subsidiaries with a $1.6 million debtor-in-possession credit facility. The Company further reported that its subsidiaries have retained Executive Sounding Board Associates to serve as financial and restructuring advisor.
Garden Way Files Chapter 11 -- July 31, 2001
Garden Way, manufacturer of Troy-Bilt and Bolens lawn equipment, announced on July 30 that it will close operations here and lay off 550 employees starting in 60 days. The company said it filed for Chapter 11 bankruptcy protection, along with parent GWI Holding Inc., and plans to sell assets to MTD Consumer Group of Ohio, subject to bankruptcy court approval. MTD Consumer Group is a subsidiary of MTD Products Inc. headquartered in Cleveland. It manufactures outdoor power equipment in the United States, Canada and Europe and sells worldwide. Its residential product brand names include Cub Cadet, White Outdoor, Yard-Man and Yard Machines.
Halo Files Chapter 11 -- July 31, 2001
Halo Industries, Inc. announced that it filed for Chapter 11 protection with the U.S. Bankruptcy Court in the District of Delaware. The Company stated that some of the factors that led to the filing included several non-operating issues and the acquisition of Starbelly.com. The Company further announced that it has secured a $30 million debtor-in-possession financing facility from its existing lenders, LaSalle Bank and Comerica. "After reviewing strategic options, our board of directors made the decision to relieve the business from past burdens," commented Marc Simon, president and chief executive officer. "As we implement our recovery plan, we are fully committed to maintaining and protecting our valued relationships with our sales force, employees, customers, vendors and shareholders. To demonstrate that commitment, the Company is implementing an immediate vendor payment plan designed to ensure uninterrupted shipments to customers and protect the cash flow of our vendors. Today's action is in line with my stated priority to restore the financial health of our Company while focusing on our core promotional products business. It is all about retention of our valuable business."
Laclede Steel Co. Files Chapter 11 -- July 30, 2001
Laclede Steel Co. announced on July 27 that it filed again for bankruptcy, affecting about 525 steelworkers at two plants, citing surging imports and the continued depressed market for steel products. The filing covers Laclede's steel mill in Alton, Illinois, which employs about 400 steelworkers, and its plant in Fairless Hills, Pennsylvania, which has about 125 workers. Laclede, which reported sales last year of almost $215 million, said it will shut down operations at its Alton facility after shipping current inventories. The company intends to offer the Alton plant for sale as an operating steel mill.
Medical Select Files Chapter 11 -- July 26, 2001
Medical Select Management announced that its board of directors has filed for Chapter 11 protection with the U.S. Bankruptcy Court in Fort Worth, Texas. Chairman Dr. Ramiro Cavazos commented, "This was a tough decision based on a difficult set of circumstances. Medical Select is dedicated to facilitating the delivery of quality health care for the people of Tarrant County, and we hope that today's filing will facilitate its continuing efforts." The Texas Department of Insurance reportedly made it clear that the Chapter 11 filing will not disrupt care for patients under the care of the Company's nearly 2,000 doctors.
Amwest Insurance Group Files Chapter 11 -- July 25, 2001
Amwest Insurance Group Inc. (AMEX:AMW) announced that it has commenced Chapter 11 bankruptcy proceedings in the United States Bankruptcy Court for the Central District of California. The bankruptcy filing arose as a result of the June 8, 2001, takeover by the Director of Insurance of the State of Nebraska of the company's principal operating subsidiary, Amwest Surety Insurance Company. Amwest Surety Insurance Company has been placed in liquidation by the Nebraska Director of Insurance.
Excalibur Tubular Files Chapter 11 -- July 24, 2001
Excalibur Tubular Corp. filed for Chapter 11 protection with the U.S. Bankruptcy Court in St. Louis, Missouri, citing the drop in steel prices as the primary cause. The Court scheduled an August 30, 2001 hearing to consider the Company's motion for its sale.
Horizon Pharmacies Inc. Files Chapter 11 -- July 24, 2001
Horizon Pharmacies Inc., an operator of 43 drug stores and an online and mail order pharmacy, said on July 23 that it filed for Chapter 11 bankruptcy so it could sell its retail pharmacies. Also, the Denison, Texas company filed Chapter 11 petitions for its Horizon Home Care, HorizonScripts.com and Jones Low Priced Drugs subsidiaries at the U.S. Bankruptcy Court for the Northern District of Texas in Dallas.
Krause's Furniture Inc. Files Chapter 11 -- July 23, 2001
Krause's Furniture Inc. (AMEX:KFI) announced on July 20 that it filed for Chapter 11 bankruptcy and has obtained a new debtor-in-possession financing commitment from its primary lender and oral commitments from its key vendors to supply raw materials. The company said it has already closed 11 under-performing showrooms this year, will close 32 more, and will continue operations at 57 showrooms that produced an operating profit in fiscal 2000. Krause's added that it will exit from the Portland, Chicago, Dallas and Houston markets. The showroom closings will reduce Krause's workforce to about 880 from 988 currently, the company said.
Phase2Media Files Chapter 11-- July 20, 2001
Phase2Media, Inc. yesterday filed for Chapter 11 protection with the U.S. Bankruptcy Court in the Southern District of New York. The Company's petition estimates that the Company has between 200 and 999 creditors; Sports Illustrated is the largest unsecured creditor with a claim of $1.1 million.
Texas Equipment Files Chapter 11 -- July 19, 2001
Texas Equipment Corporation filed for Chapter 11 protection with the U.S. Bankruptcy Court in Lubbock, Texas. The Company stated that it was continuing its efforts to obtain additional equity financing to allow it to sustain operations during the continuing downturn in the agricultural economy or to find a prospective buyer for the Company's business. The Company further commented that it hopes the reorganization proceeding would allow it the opportunity to do so in an organized manner. Finally. The Company announced that Deere & Company recently notified the Company of its decision to terminate the Company's Deere agricultural equipment dealerships if a satisfactory financing source or investor had not been identified. The Company expressed intentions to contest any such efforts to terminate its dealerships in the reorganization proceeding.
Easyriders Files Chapter 11 -- July 19, 2001
Easyriders, Inc. and its principal operating subsidiary--Paisano Publications, Inc.--filed for Chapter 11 protection with the U.S. Bankruptcy Court in the Central District of California, San Fernando Valley Division. The Company stated that the filings were prompted by various repayment demands and other disputes that Easyriders was having with its primary secured lender, Nomura Holding America Inc. Notwithstanding these disputes, the parties entered into a cash collateral stipulation prior to Easyriders' bankruptcy filings, which will enable the Company to continue to operate in the ordinary course of business and pay all necessary operating expenses. Easyriders intends to seek emergency Court approval of its cash collateral stipulation with Nomura. "It is unfortunate that we were forced to take this action, particularly when the company reported positive earnings for the first time during the operating period ended March 31, 2001. However, recent actions by our senior lender left us with no other alternative," commented Bob Fabregas, chief executive officer.
Quantum Southwest Files Chapter 11 -- July 19, 2001
Quantum Southwest Medical Management, Inc. and Quantum Southwest Medical Associates filed for Chapter 11 protection with the U.S. Bankruptcy Court. The Company stated that during its reorganization, it will continue to provide all current services including medical management and claims processing for its many medical service providers. QSMM is a Management Services Organization. QSMM and its affiliated organizations currently manage eighteen health centers in and around San Antonio, Texas. These health centers provide services to approximately 34,000 capitated as well many "fee for service" lives. In addition, QSMM and its affiliated organizations provide management services for one OB/GYN Professional Association and 60,000 commercial members.
Digital Lighthouse Files Chapter 11 -- July 18, 2001
Digital Lighthouse Corporation announced that the Company filed for Chapter 11 protection with the U.S. Bankruptcy Court in the District of Colorado. The Company stated that over the past two years, the Internet technology and online trading operations support sectors have experienced a significant market downturn, and that the Company has taken steps to strengthen its business model as a result of these conditions. "Digital is voluntarily taking this action because we believe it will best protect the Company's assets for the benefit of our creditors, customers, employees and other stakeholders while we continue to evaluate our strategic alternatives," commented Tim O'Crowley, Chairman. "Although we have taken dramatic steps to counter the severe downturn in the market for our services, we now find it necessary to seek the assistance of the court in order to have the time to reorganize our balance sheet.
Dental/Medical Diagnostic to File Chapter 7 -- June 18, 2001
Dental/Medical Diagnostic Systems, Inc.'s Chairman and Chief Executive Officer, Robert H. Gurevitch, announced that the Company failed to reach accommodation with its lender, which foreclosed on virtually all of its assets. The Company stated that it has been unsuccessful in its attempts to raise additional capital. Mr. Gurevitch further announced intentions to file for Chapter 7 protection with the U.S. Bankruptcy Court.
Schwinn Files Chapter 11, Announces Sale -- June 18, 2001
Schwinn/GT Corp. announced that it-- Schwinn Cycling & Fitness, Inc.; GT Bicycles, Inc.; Riteway Distribution, Inc.; Hebb Industries, Inc.; and certain other U.S. affiliates--filed for Chapter 11 protection with the U.S. Bankruptcy Court and announced that it is selling its cycling unit to Huffy Corp. for more than $60 million. The Company also announced an agreement with a group of its existing lenders for up to $30 million in financing.
Sterling Chemicals Files Chapter 11 -- July 17, 2001
Sterling Chemicals filed for Chapter 11 bankruptcy court protection in Houston on July 16. The filing in the Southern District federal bankruptcy court in Houston includes Sterling Chemicals Holdings, Sterling Chemicals Inc., and subsidiaries that operate petrochemical plants in Texas City, Valdosta, Ga., and Pace, Fla. Sterling Chemicals' pulp and paper chemicals business, operated out of Canada as a separate unit, was not included in the filing.
HomeLife Files Chapter 11 -- July 17, 2001
HomeLife Corp.--and affiliates HL Holding Corp.; HomeLife de Puerto Rico, Inc.; Furniture Holding, LLC; and HLC 1, LLC--filed for Chapter 11 protection with the U.S. Bankruptcy Court in the District of Delaware, listing total assets and liabilities of more than $100 million. According to published reports, the Company's Website posted a message stating, "all merchandise currently in our stores and warehouses will be liquidated.&guot;
Precision Specialty Files Chapter 11 -- July 17, 2001
Precision Specialty Metals, Inc. filed for Chapter 11 protection with the U.S. Bankruptcy Court in the District of Delaware. The Company stated that the filing was made "in order to complete its restructuring initiatives and ensure sufficient liquidity to continue to operate and grow its business." The Company also announced that it has received commitments for up to $29 million in debtor-in-possession financing from Bank of America Business Credit, which will be used to fund post-petition operating expenses and supplier and employee obligations.
Webvan Group Inc. Files For Chapter 11 -- July 16, 2001
Webvan Group Inc. and three affiliates filed for Chapter 11 bankruptcy protection July 11 in the U.S. Bankruptcy Court, District of Delaware. `'The company plans an orderly sale of its business and assets," Webvan said in a brief statement. The Foster City, California-based, Webvan listed assets with a book value of $1.2 billion and debts of $106 million. However, the assets include $734 million in goodwill and other intangibles, court papers say. Webvan raised $1 billion to build its retail business which took grocery orders online and delivered them to customers in Chicago, Los Angeles, Seattle, San Diego, the San Francisco Bay area, Portland, Oregon, and California's Orange County. In court papers, the company said there were 481.7 million shares outstanding of the 800 million shares authorized. Those listed as owning at least five percent of the voting stock are Louis Borders, 10.3 percent; Softbank America Inc., 9.7 percent; Sequoia Capital, 8.4 percent; Benchmark Capital, 7.6 percent; and Amazon.com Inc., 5.2 percent.
Vectrix Files Chapter 11 -- July 13, 2001
Vectrix Business Solutions, Inc. filed for Chapter 11 protection with the U.S. Bankruptcy Court in the Northern District of Texas. According to published reports, the Company stated that it has approximately $3 million in cash to fund its near-term operations.
VoiceFlash Files Chapter 11 -- July 12, 2001
VoiceFlash Networks, Inc. filed for Chapter 11 protection with the U.S. Bankruptcy Court in the Central District of California (Los Angeles Division). The case number is 01-30885.
Lenox Healthcare Files Chapter 11 -- July 12, 2001
Lenox Healthcare, Inc. filed for Chapter 11 protection with the U.S. Bankruptcy Court in the District of Delaware. This is the Company's second Chapter 11 filing [Some people joke that this means "a Chapter 22".] :-). Chairman H. Jeffrey Schwartz reportedly commented that the board concluded that the Company can not continue as a going-concern.
SES Corp. Files Chapter 11 -- July 12, 2001
SES Corp. filed for Chapter 11 protection with the U.S. Bankruptcy Court in Michigan. The Company, which is based in Auburn Hills, Michigan, issues payroll checks for employers nationwide. According to published reports, Citizens National Bank, Michigan National Bank, Bank of America, and Bank One have each frozen the Company's accounts as a result of chronic overdrafts.
Penn Specialty Files Chapter 11 -- July 10, 2001
Penn Specialty Chemicals announced that it filed a voluntary petition under Chapter 11 of the U.S. Bankruptcy Code in the U.S. Bankruptcy Court in the District of Delaware. The Company stated that the filing is the result of cash flow issues caused by the significant downturn in demand in the chemical and associated industries from Q3 2000 on, sharp natural gas cost increases in Q1 of this year, and the continuing strong dollar.
Tapistron Files Chapter 11 -- July 9, 2001
Tapistron International, Inc. filed for Chapter 11 protection with the U.S. Bankruptcy Court in Chattanooga, Tennessee. The Company also announced that Jack F. Godfrey resigned from the Company's board. Godfrey owns 20,000 shares of the Company's common stock outstanding.
Webvan Group Inc. Files Chapter 11 -- July 9, 2001
Webvan Group Inc. (NasdaqNM:WBVN) announced that it would file for bankruptcy protection and had stopped operations, terminating the employment of its 2,000 workers. Webvan said it has no plans to resume operations and it will pursue an orderly wind-down of its operations and sale of its assets and business. It also will not implement the one-for-25 reverse stock split shareholders recently approved. Instead it expects its common stock to be delisted from the Nasdaq National Market.
TCPI Files Chapter 11 -- July 6, 2001
TCPI, Inc. (OTCBB:TCPI) filed a voluntary petition under Chapter 11 of the U.S. Bankruptcy Code with the U.S. Bankruptcy Court in the Southern District of Florida. Elliott Block, Ph.D., President & Chief Executive Officer, commented, "This was a difficult, but absolutely necessary, decision for TCPI to make. It is the only option that will free TCPI from its overwhelming burden of debt and litigation expenses incurred over the past years. TCPI has already reduced its workforce by 58% since last September in addition to other cost reductions. With a new capital structure and the commitment of our management team and employees to execute our strategy, I believe TCPI will become a viable company marketing diagnostic products and licensing skin permeation enhancer and drug delivery technologies."
AMF Bowling Files Chapter 11 -- July 5, 2001
AMF Bowling Worldwide and its U.S. subsidiaries filed for voluntary reorganization under Chapter 11 of the U.S. Bankruptcy Code with the U.S. Bankruptcy Court in Richmond, Virginia. The Company announced that it has reached an agreement in principle with the steering committee of its senior lenders on a new capital structure and the terms of a plan of reorganization and expects to file the Plan of Reorganization in early August, following approval of the agreement by the requisite majority of its senior lenders. Under the terms of the plan to which AMF and the steering committee of senior lenders have agreed in principle, the senior lenders will receive a combination of cash, debt and common stock of the reorganized company. Based on a hypothetical reorganization value of $700 million, these distributions will provide payment in full to the senior lenders for their secured claims of approximately $625 million. Unsecured creditors will receive the remainder of the reorganized company's common stock, as well as warrants to purchase additional shares. In addition, members of the Company's current senior lending group have agreed to provide the company with a $75 million debtor-in-possession financing facility. These funds will be available, pending Court approval, to supplement the Company's operating cash flow for funding business operations.
Amresco Files Chapter 11 -- July 3, 2001
Amresco, Inc. announced that it filed a voluntary petition for reorganization relief pursuant to Chapter 11 of the United States Bankruptcy Code. In conjunction with the filing, the Company has entered into an asset purchase agreement with NCS I, LLC, whereby, subject to Court approval and a mandatory auction process, the Company will sell substantially all of its assets, exclusive of its cash and cash equivalents, for a purchase price of $309 million, subject to certain adjustments. The purchase price is comprised of $151 million of cash, subject to adjustment, a $25 million six-month note and the replacement of current warehouse indebtedness of $133 million.
Foster & Gallagher File Chapter 11 -- July 3, 2001
Foster & Gallagher, Inc. announced that it and 21 of its domestic subsidiaries have filed for protection under Chapter 11 of the United States Bankruptcy Code in the U.S. Bankruptcy Court for the District of Delaware. The Company stated that it and its subsidiaries filed for Chapter 11 in order to wind-down their businesses and sell all or substantially all of their assets. The Company further commented that as a result of its discussions with lenders, it was determined that, effective immediately, its Spring Hill Group, Michigan Bulb Group, Gurney's Group and all of their subsidiaries will be closed. As part of the Chapter 11 proceeding, F&G has arranged for short-term financing from certain of its existing lenders, which helps ensure that F&G will be able to effectuate an orderly wind-down of its remaining operations.
Metricom Files Chapter 11 -- July 3, 2001
Metricom, Inc. announced that it has filed a voluntary petition for reorganization under Chapter 11 of the U.S. Bankruptcy Code in the U.S. Bankruptcy Court in San Jose, California. The Company stated that it is working with its resellers and channel partners to maintain network access services for their end user subscribers. The Company is represented by Murphy, Sheneman, Julian & Rogers. The Company also announced the appointment of Kevin I. Dowd as chief restructuring officer, a newly created position. Mr. Dowd, a corporate turnaround specialist who has been serving as an outside advisor to the Company for the last several weeks, will be overseeing the Company's restructuring efforts, as well as working with the Company to evaluate options for financing the Company's continuing operations, as well as other strategic alternatives.
Sunbeam Voting Extension Announced -- July 3, 2001
Pursuant to orders of the United States Bankruptcy Court, the deadline to vote on Sunbeam Corporation's Second Amended Plan of Reorganization (dated April 26, 2001), originally scheduled to expire on June 28, 2001, has been extended to August 31, 2001. Therefore, all persons and entities entitled to vote on the Plans, shall deliver their Ballots by mail, hand delivery or overnight courier by no later than 4:00 p.m. Eastern Time on August 31, 2001 to the Balloting Agent, Bankruptcy Services, LLC.
Metal Management Emerges -- July 3, 2001
Metal Management, Inc. announced it has satisfied all conditions required for its emergence from Chapter 11 and has begun operating without U.S. Bankruptcy Court supervision. The Court confirmed the Company's Plan of Reorganization June 18, 2001. In furtherance of its Plan, the Company entered into a new credit agreement with its existing senior lenders providing the company with $150 million of borrowing capacity. The senior credit agreement matures in June 2003. The Company also restructured its $30 million senior secured notes due May 2004. Substantially all other debt of the company will be converted to equity of reorganized Metal Management.
360networks Files Chapter 11 -- July 2, 2001
360networks, Inc. and over 20 affiliates filed for Chapter 11 protection with the U.S. Bankruptcy Court in the Southern District of New York, listing total assets and liabilities of $6.3 billion and $3.6 billion, respectively. The Company, whose common stock is traded on the NASDAQ exchange, also announced the reduction of 800 jobs. The Company also made a filing under the Companies' Creditors Arrangement Act in the Supreme Court of British Columbia. Seven of the Company's board members also announced their resignation.
