Genmar warranties still good - Portland Business Journal:

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Tracy Carrell says the lettee came after boat manufacturer on Monday filesd for Chapter 11bankruptcy protection. Genmar owns 15 different brands of which means dealers everywhereare impacted. She says cash customerzs for boats at her dealership haveremained strong. But trouble financinv in the current economy means others have been forcex tohold off. “The boating business has been affecteed a lot like cars she says. The petition to reorganize its debts was filedin U.S.
Bankruptch Court in Minneapolis where the company is headquartered along with more than 20 related Genmar has between 100 and 199 It lists its assets in the rageof $10 millio n to $50 million and its liabilitiesd between $100 million and $500 according to court documents. The largest unsecureds creditorsare Maslon, Edelman, Brand, a Minneapolis-based law firm which is owed Merchant & Gould, a law firm in is owed $155,800. The only securedr creditors are and Fifth Third according to a story in the Minneapolis Star Genmar said it has received commitmengt fora debtor-in-possession (DIP) financing proposal from both banks.
In a Genmar Chairman, CEO and largest shareholder Irwin Jacobs said salexs ofthe company’s fishing boats, luxury yachts and othed products started to decline in 2008, but worsenef in recent months. The company’s sales in fiscal 2009, which ends in June, are likely to be abouf $460 million, off by more than 50 percent fromfiscaol 2008. “If someone would have said to me as recently as even one montu ago that Genmar would someday be filinbg forChapter 11, I would have said it was not even a remotre possibility,” Jacobs said.
Genmar had been makingf some strategy changes in recent announcing plans to launch a lineof less-expensive aluminum A spinoff company, Greenville, Pa.-bases VEC Technology, and other Jacobs-related companieas aren’t included in the filing. VEC is now in the businessa of making giant bladesfor energy-generating windmills. Law firm Fredrikson & Byron in is representing Genmar in thebankruptcy