[DeTomaso] MSD not good...

Jerry Knotts knottsj at galstar.com
Mon Sep 16 10:19:35 EDT 2013


I thought they went through a sale or restructure about 2 years ago.  I 
guess it didn't take.

jerry knotts

On 9/16/2013 8:44 AM, Larry - Ohio Time Corp wrote:
>   
>
> MSD Performance, Inc. today (09/11/13) announced that to address liquidity
> needs and facilitate a restructuring, the company and its U.S. subsidiaries
> have filed voluntary petitions in the United States Bankruptcy Court for the
> District of Delaware under Chapter 11 of the U.S. Bankruptcy Code. The
> filing does not include the company's non-U.S. entities.
>
> MSDP has determined that the best way to preserve value for its stakeholders
> is through an orderly sale of substantially all of its assets. To ensure the
> most efficient sales process possible and to optimize the potential results
> for all parties, the Company has decided to execute this sale process under
> the protection of the U.S. Bankruptcy Code.
>
> Through the Chapter 11 filing, MSDP seeks to preserve continuity, to the
> greatest extent possible, for its customers, employees and business partners
> while it continues discussions with potential buyers to secure the highest
> and best outcome for its businesses.
>
> "As an industry leader in the performance ignition systems market for over
> 40 years, MSDP brings significant value to customers, suppliers and
> potential buyers based on our long-standing customer relationships, robust
> product offering and proven focus on quality performance," said Ron
> Turcotte, Chairman and CEO.
>
> "Selling operations on a going concern basis in an orderly sale through
> Chapter 11 is the best way to preserve as many jobs as possible, best serve
> our customers and will allow our operations to emerge from bankruptcy in a
> relatively short time frame," said Turcotte. "The operations we are selling
> have strong product portfolios, advanced technologies and continue to
> perform well operationally."
>
> Under the bankruptcy sale process, the proposed transaction is subject to
> the execution of a definitive asset purchase agreement, court approval and
> other customary conditions. Interested parties will have an opportunity to
> submit higher or better offers for MSDP's assets.
>
> The Company restructured its debt in 2009 following the financial downturn
> as well as a series of acquisitions by prior management, which burdened it
> with excessive debt. Since that time, the Company has reduced operating
> costs, introduced award-winning products and accelerated marketing
> initiatives. The decision to file under Chapter 11 is necessary to
> facilitate this transaction, which positions MSDP to take advantage of
> emerging growth opportunities.
>
> To fund its continuing operations MSDP has received the consent of the
> lenders under its existing secured credit facility to use the Company's cash
> collateral. Subject to Court approval, the Company's cash collateral will be
> used for the company's normal working capital requirements.
>
> Employees will continue to be paid as usual, including their healthcare and
> other benefits and no layoffs or facility closings are anticipated.
> Customers will receive their orders as usual and the company anticipates
> that there will be no changes in warranties or other customer programs
> Additionally, suppliers will be paid for goods and services after the filing
> date in accordance with existing terms and contracts
>
>   
>
>   
>
>   
>
>   
>
> Larry - Cleveland
>
> _______________________________________________
>
> Detomaso Forum Managed by POCA
>
> DeTomaso mailing list
> DeTomaso at poca.com
> http://poca.com/mailman/listinfo/detomaso
>
>




More information about the DeTomaso mailing list