Interviews
News Flash
Finlay Enterprises files for protection under Chapter 11
07 Aug '09
2 min read
Finlay Enterprises Inc, a retailer of fine jewelry operating luxury stand-alone specialty jewelry stores and licensed fine jewelry departments in department stores throughout the United States, announced that it and several of its wholly-owned subsidiaries have filed voluntary petitions for relief under chapter 11 of the United States Bankruptcy Code in Bankruptcy Court for the Southern District of New York.
The Company, in collaboration with its financial advisor, Alvarez & Marsal, has decided to pursue an auction and sale process in order to maximize value for stakeholders. In connection therewith, the Company also announced that it has entered into an agency agreement with Gordon Brothers Retail Partners, LLC pursuant to which Gordon Brothers will act as the Stalking Horse bidder in connection with an auction that the Company intends to conduct for its business and assets. The agency agreement and the outcome of the auction are subject to approval by the Court.
In addition, the Company has filed a variety of motions with the Court that, with Court approval, will allow it to continue to conduct business in the ordinary course without interruption. The Company's bankruptcy attorneys are Weil, Gotshal & Manges LLP.
As is customary with public companies that have filed for chapter 11, the Company expects the OTC Bulletin Board ("OTC") to temporarily halt trading in the Company's stock pending receipt of additional information on the Company's financial condition and reorganization plans. The Company intends to cooperate in providing any such information requested by the OTC.
Arthur E. Reiner, Chairman and Chief Executive Officer of Finlay Enterprises, Inc. commented, "Although today is a difficult day for all of us at Finlay, we have arrived at this decision after careful analysis and believe it is necessary given the continued challenging economic environment that has resulted in our current business condition. As we consider the next steps for our Company, we thank our employees, vendors and customers for their ongoing support."
The Company, in collaboration with its financial advisor, Alvarez & Marsal, has decided to pursue an auction and sale process in order to maximize value for stakeholders. In connection therewith, the Company also announced that it has entered into an agency agreement with Gordon Brothers Retail Partners, LLC pursuant to which Gordon Brothers will act as the Stalking Horse bidder in connection with an auction that the Company intends to conduct for its business and assets. The agency agreement and the outcome of the auction are subject to approval by the Court.
In addition, the Company has filed a variety of motions with the Court that, with Court approval, will allow it to continue to conduct business in the ordinary course without interruption. The Company's bankruptcy attorneys are Weil, Gotshal & Manges LLP.
As is customary with public companies that have filed for chapter 11, the Company expects the OTC Bulletin Board ("OTC") to temporarily halt trading in the Company's stock pending receipt of additional information on the Company's financial condition and reorganization plans. The Company intends to cooperate in providing any such information requested by the OTC.
Arthur E. Reiner, Chairman and Chief Executive Officer of Finlay Enterprises, Inc. commented, "Although today is a difficult day for all of us at Finlay, we have arrived at this decision after careful analysis and believe it is necessary given the continued challenging economic environment that has resulted in our current business condition. As we consider the next steps for our Company, we thank our employees, vendors and customers for their ongoing support."
Finlay Enterprises Inc
Popular News
Leave your Comments
Esteemed Clients
-Ltd..jpg?tr=w-120,h-60,c-at_max,cm-pad_resize,bg-ffffff "Thermore (Far East) Ltd.")
.jpg?tr=w-120,h-60,c-at_max,cm-pad_resize,bg-ffffff "Telangana State Industrial Infrastructure Corporation Limited (TSllC Ltd)")
.jpg?tr=w-120,h-60,c-at_max,cm-pad_resize,bg-ffffff "Taiwan Textile Federation (TTF)")
