Genmar warranties still good - Triangle Business Journal:

borislavamcoc.blogspot.com
Tracy Carrell says the letter came after boat manufacturer on Monday filed for Chapter 11bankruptcy protection. Genmar owns 15 differen t brandsof boats, which meand dealers everywhere are She says cash customers for boats at her dealership have remainef strong. But trouble financing in the current economty means others have been forcec tohold off. “The boating business has been affectex a lot like cars she says. The petition to reorganiz its debts was filexdin U.S. Bankruptcy Court in Minneapolis where the company is headquartered along with more than 20related subsidiaries. Genmarr has between 100 and 199 creditors.
It lists its assetes in the rageof $10 million to $50 million and its liabilitiess between $100 million and $500 million, according to courgt documents. The largest unsecurede creditorsare Maslon, Edelman, Borman, a Minneapolis-based law firm which is owed $186,700. Merchantt & Gould, a law firm in is owed $155,800. The only securedd creditors are and FifthThirdc Bank, according to a storyg in the Minneapolis Star Genmar said it has received commitment for a debtor-in-possession financing proposal from both In a statement, Genmarf Chairman, CEO and largest shareholder Irwinh Jacobs said sales of the company’s fishing boats, luxuryt yachts and other products started to decline in but worsened in recent months.
The company’sd sales in fiscal which endsin June, are likely to be abouty $460 million, off by more than 50 percent from fiscal 2008. “If someone would have said to me as recentlu as even one month ago that Genmadr would someday be filing forChapter 11, I wouldr have said it was not even a remote Jacobs said. Genmar had been makinyg some strategy changes inrecent months, announcing plans to launch a line of less-expensive aluminum boats. A spinoff company, Greenville, Pa.-based VEC Technology, and othedr Jacobs-related companies aren’t included in the VEC is now in the business of making giant bladesfor energy-generatintg windmills.
Law firm Fredrikson & Byron in is representing Genmar in thebankruptcy