August 9, 2010

TLC Vision Eye Care Emerges from Bankruptcy

0

TLC Vision Corporation, the eye care services provider, has emerged from bankruptcy protection Thursday as a privately held company owned by affiliates of Charlesbank Capital Partners LLC and HIG Capital LLC. Together with new ownership, the company also has a new board of directors. The previous board, including its Chairman, Warren Rustand has resigned. All new board members are employees of Charlesbank and HIG. The company has also been given fresh capital injection to ensure it has room for expansion.

As part of an arrangement to restructure its debts, TLC Vision and two of its subsidiaries filed for Chapter 11 bankruptcy protection in December last year. About three months later in February, the management went into an agreement to sell TLC to Charlesbank Capital Partners where it would receive up to $134.4 million including $25 million in debtor-in-possession financing. This sale would include its eye centers in the United States and its six refractive centers in Canada.

TLC Vision Corporation is based in Mississauga, Ontario, Canada and maintains its US headquarters in Chesterfield. It has 70 refractive centers in North America including one in Tampa on West Shore Boulevard called TLC Laser Eye Center where they provide corrective laser eye treatment. TLC’s reorganization proposal was confirmed May 6 by the US bankruptcy court and later further confirmed May 11 by a Canadian court order and thus is effective, the company said.

In their bankruptcy filing done on December 21 at Wilmington, Del. last year, TLC listed both assets and liabilities at between $100 million and $500 million. The company disclosed that Boston-based Charlesbank Capital Partners and Miami-based HIG Capital have bought over a substantial portion of TLC’s assets and the entire equity in TLC USA and the 6 refractive centers in Canada. All remaining assets are designated to be sold off in Canada and the net profits from all sales are to be given to TLC Vision Corporation’s creditors according to the reorganization proposal.

According to the company’s new owners, these steps taken have enabled TLC Vision to emerge out of bankruptcy with its balance sheet deleveraged, its debts fully repaid and with sufficient reserves in capital for future expansion. James Tiffany, the President and CEO of TLC made a statement saying, “We have successfully completed our financial restructuring in just five months, and we exit Chapter 11 with a healthier balance sheet and an improved cost structure.”

For the year 2009, TLC made a net loss of $36.7 million while receiving revenue of $230.2 million. For 2010, TLC reported a first-quarter net loss of $4.4 million on revenue of $61.4 million.

Related Blogs

Filed under Chapter 7 (Tampa) by dmishesq on Aug 9th, 2010. Comment.

July 25, 2010

Who is Emerging from Bankruptcy

0

Six Flags Entertainment Corporation (formerly Six Flags Inc) emerges from Chapter 11 bankruptcy protection after a year of restructuring and reorganization. It now has $725 million in equity committed by new shareholders and its debts have been slashed by about $1.7 billion.

In line with this development, Six Flags Discovery Kingdom begins its daily summer business later this month. The summer season is scheduled to run from May 28 till August 22. The popular sea entertainment park has designated 2010 the Year of the Dolphin and is eagerly awaiting the birth of its two newest dolphin calves this year. As such, several new shows will see their debuts along with a dolphin swim program and dolphin experiences. Visitors to the park will also find new food vendors throughout the park.

Along with the planned new shows, the management will also focus on upgrading the infrastructure of the park. New rides, new events and several attractions are planned over the next few years, not forgetting the theme park’s highly anticipated 50th anniversary celebrations next year.

This year, Six Flags Discovery Kingdom has recruited 1,400 employees to run its operations. In addition, the park’s special Season Pass price of $49.99 will be extended till May 31.

On the financial front, Six Flags Entertainment Corporation plans to float the company’s new common stocks on the New York Stock Exchange. Presently, the company owns 19 theme parks in the US, Canada and Mexico.

Another company exiting bankruptcy is media company Freedom Communications. The company ceded control of the business to its main creditor, JPMorgan Chase in exchange for a remission of almost 60% of its debts to $325 million. Another beneficiary who gets a share of the media giant is Angelo, Gordon & Co, who has been buying up similar media companies in Minneapolis and Philadelphia through bankruptcy.

Among Freedom Communications’ publications are The Orange County Register in California and more than two dozen other dailies. It also owns 8 TV stations. Freedom Communications filed for bankruptcy protection in September because of drastic drops in its advertising revenue. The move for bankruptcy eliminated the ownership of Blackstone Group LP, Providence Equity Partners and descendants of Freedom founder R.C. Hoiles in the company.

Organizationally, its interim CEO, Burl Osborne who has held the position since last June will continue to do so until a permanent replacement is appointed by the company.

Related Blogs

Filed under Chapter 7 (Tampa) by dmishesq on Jul 25th, 2010. Comment.

July 23, 2010

Brown Media Files for Bankruptcy

0

Brown Media Holdings Co. and Brown Publishing Co. of Ohio have filed for Chapter 11 bankruptcy protection Friday in US Bankruptcy Court for the Eastern District Court of New York. Brown Media Holdings is the parent company of business newspaper Boulder County Business Report, having bought over the paper in February 2008. In turn, the Boulder County Business Report is the majority owner of Northern Colorado Business Report (NCBR), thus making Brown Media Holdings the parent company of both publications. Ohio-based Brown Media runs 11 business publications and 15 daily newspapers and over 30 weeklies.

The co-publisher of NCBR, Chris Wood assumed the position of publisher of Boulder County Business Report at the point of the takeover while another co-publisher at NCBR, Jeff Nuttall was appointed the NCBR publisher. Joel Dempsey, corporate lawyer representing Wood was assigned to make official comments but has thus far remained mum over the bankruptcies.

Chapter 11 of the Bankruptcy code provides immediate cessation of all actions of creditors to reclaim any outstanding debts such as liquidation of assets while at the same time allows the debtor companies to reorganize their finances. However, companies under Chapter 11 do have the option to voluntarily liquidate their assets. This option was taken up by Brown Media Holdings, who will be selling their assets in 10 states to an undisclosed bidder.

Conflicting reports have appeared on the details of the bankruptcy. For instance, initially NCBR reported in its website that neither it nor another sister company, Wyoming Business Report ‘is affected by the bankruptcy’. But this statement was later altered to say that neither paper ‘was named as part of the bankruptcy’. However, the company that publishes the NCBR and Wyoming Business Report, Boulder Business Information Inc., a subsidiary of Brown Media is listed among 15 subsidiaries seeking bankruptcy protection, according to court papers.

Print media companies have had to grapple with severe financial problems due to the economic slowdown that brought about substantial drops in advertising revenue as companies cut back on spending to advertise. Besides that, publishers also had to contend with competition for readership from the digital media such as news websites. With its application for bankruptcy, Brown Media joins a growing number of publishers struggling to stay afloat financially.

In its bankruptcy filing, Brown Media listed PNC Bank in Philadelphia and Wilmington Trust Co. in Boston as its biggest creditors to whom they owed a total of $94 million in secured loans.

Related Blogs

Filed under Chapter 7 (Tampa) by dmishesq on Jul 23rd, 2010. Comment.

July 12, 2010

Bankruptcy Snippets

0

Private Investigator Files for Bankruptcy

Derrick Snowdy, the private investigator known for being the man who passed on allegations about Helena Guergis and Rahim Jaffer has filed for bankruptcy. In his bankruptcy application, Snowdy blamed the collapse of a security company he owned for his own financial troubles. Records show that Epic Protection Group Ltd had about $3.2 million in debts.

Snowdy explained that one of his former employees committed an action involving a ‘source deduction account’ that ultimately started a chain reaction which combined with other factors led to the fall of his company, Epic Protection. This employee subsequently sued Snowdy for business loss amounting to $11 million. Snowdy turn sued back. This amount of money is registered as a claim in Snowdy’s bankruptcy records, but no finding has been made in the court action. In addition, Snowdy owed taxes to the Canada Revenue Agency and debts to credit card companies and retail outlets like Leon’s Furniture. Under the heavy weight of debt, Snowdy declared personal bankruptcy last August with liabilities amounting to $13 million.

Bankruptcy Fraud lands Woman 3 Months’ Jail

Arlene Arellano from Vermont was given a sentence of 3 months’ imprisonment in US District Court in Burlington for fraudulently filing for bankruptcy in 2007.

At the time of filing for bankruptcy, Arellano, 64 concealed the fact that she owned 50% of a property in Wardsboro worth $150,000 at the time and possessed $3,000 in her bank account in a South Carolina bank.

According to prosecutors, a month after filing for bankruptcy, Arellano transferred her ownership of the property to a daughter and concealed the transfer also.

Arellano, who pleaded guilty to the charge, is due to begin her sentence May 4.

Mt. Diablo YMCA goes Bankrupt

The YMCA branch in Mt. Diablo region has filed for Chapter 11 bankruptcy protection. The organization said that its services to the public and its members will be continued by the Berkeley-Albany YMCA.

In a statement last Friday, the YMCA chairman of Mt. Diablo region Rick Callaway said that the branch’s child care programs, youth sports and family programs in the San Ramon Valley, will continue unabated but it would be taken over by the Berkeley-Albany YMCA branch.

In March, the Pleasant Hill-based Irvin Deutscher Family YMCA of Mt. Diablo region had announced the closure of its facilities in Oakley and Clayton. It also cancelled a long-planned Alamo building plan.

Related Blogs

Filed under Chapter 7 (Tampa) by dmishesq on Jul 12th, 2010. Comment.

July 4, 2010

Bankruptcy Snippets

0

Private Investigator Files for Bankruptcy

Derrick Snowdy, the private investigator known for being the man who passed on allegations about Helena Guergis and Rahim Jaffer has filed for bankruptcy. In his bankruptcy application, Snowdy blamed the collapse of a security company he owned for his own financial troubles. Records show that Epic Protection Group Ltd had about $3.2 million in debts.

Snowdy explained that one of his former employees committed an action involving a ‘source deduction account’ that ultimately started a chain reaction which combined with other factors led to the fall of his company, Epic Protection. This employee subsequently sued Snowdy for business loss amounting to $11 million. Snowdy turn sued back. This amount of money is registered as a claim in Snowdy’s bankruptcy records, but no finding has been made in the court action. In addition, Snowdy owed taxes to the Canada Revenue Agency and debts to credit card companies and retail outlets like Leon’s Furniture. Under the heavy weight of debt, Snowdy declared personal bankruptcy last August with liabilities amounting to $13 million.

Bankruptcy Fraud lands Woman 3 Months’ Jail

Arlene Arellano from Vermont was given a sentence of 3 months’ imprisonment in US District Court in Burlington for fraudulently filing for bankruptcy in 2007.

At the time of filing for bankruptcy, Arellano, 64 concealed the fact that she owned 50% of a property in Wardsboro worth $150,000 at the time and possessed $3,000 in her bank account in a South Carolina bank.

According to prosecutors, a month after filing for bankruptcy, Arellano transferred her ownership of the property to a daughter and concealed the transfer also.

Arellano, who pleaded guilty to the charge, is due to begin her sentence May 4.

Mt. Diablo YMCA goes Bankrupt

The YMCA branch in Mt. Diablo region has filed for Chapter 11 bankruptcy protection. The organization said that its services to the public and its members will be continued by the Berkeley-Albany YMCA.

In a statement last Friday, the YMCA chairman of Mt. Diablo region Rick Callaway said that the branch’s child care programs, youth sports and family programs in the San Ramon Valley, will continue unabated but it would be taken over by the Berkeley-Albany YMCA branch.

In March, the Pleasant Hill-based Irvin Deutscher Family YMCA of Mt. Diablo region had announced the closure of its facilities in Oakley and Clayton. It also cancelled a long-planned Alamo building plan.

Filed under Chapter 7 (Tampa) by dmishesq on Jul 4th, 2010. Comment.

Chapter 11 Bankruptcy Protection

TLC Vision Eye Care Emerges from Bankruptcy

Related Blogs

Who is Emerging from Bankruptcy

Related Blogs

Brown Media Files for Bankruptcy

Related Blogs

Bankruptcy Snippets

Related Blogs

Bankruptcy Snippets

Categories

Archives

As Featured In:

Blogroll

Contributors