Genmar warranties still good - Denver Business Journal:

manuscripts-shuwatu.blogspot.com
Tracy Carrell says the letter came after boat manufacturer on Mondau filed for Chapter 11bankruptcy protection. Genmat owns 15 different brands of which means dealers everywhereare impacted. She says cash customerw for boats at her dealership haveremained strong. But troublr financing in the current economy means othersa have been forced tohold off. “Thew boating business has been affected a lot like cars she says. The petition to reorganize its debts was filed in U.S. Bankruptcy Court in Minneapolis where the company isheadquartered — alonbg with more than 20 related subsidiaries. Genmad has between 100 and 199 creditors.
It listds its assets in the rageof $10 million to $50 millio and its liabilities between $100 million and $500 according to court documents. The largest unsecured creditorxare Maslon, Edelman, Brand, a Minneapolis-based law firm which is owed $186,700. Merchanrt & Gould, a law firm in is owed $155,800. The only securexd creditors are and FifthThird Bank, according to a story in the Minneapolixs Star Tribune.
Genmar said it has received commitmengt fora debtor-in-possession (DIP) financing proposal from both In a statement, Genmar Chairman, CEO and largest shareholdedr Irwin Jacobs said sales of the company’se fishing boats, luxury yachts and otherd products started to decline in 2008, but worsened in recengt months. The company’s sales in fiscal which ends in June, are likely to be abouy $460 million, off by more than 50 percent fromfiscal 2008. “If someone wouldx have said to me as recently as even one montb ago that Genmar would someday be filing forChapter 11, I woulfd have said it was not even a remotw possibility,” Jacobs said.
Genmar had been makinyg some strategy changes inrecent months, announcing plansd to launch a line of less-expensive aluminum boats. A spinoffc company, Greenville, Pa.-based VEC Technology, and other Jacobs-related companied aren’t included in the filing. VEC is now in the businesss of making giant bladesfor energy-generating Law firm Fredrikson & Byron in Minneapolis, is representing Genmar in the bankruptcy