Despite its association with Ford--the only Detroit automaker not in, or flirting with, bankruptcy--parts supplier Visteon joined the bankruptcy crowd today. Visteon, which supplies Ford with an extensive array of supplies, was battered by Ford's 40 percent sales decline. Several Visteon subsidiaries filed for bankruptcy as well.
Nearly 50 auto parts and supply companies have filed for bankruptcy in 2008 and 2009.
The famed Christian Lacroix fashion house filed for bankruptcy in Paris. Despite plans to continue operations, the company was unprofitable for years. Sales were down roughly 35 percent at Lacroix's two US stores.
The article linked above notes that Lacroix was the last formally established couturier, and that its loss is "immeasurable."
Bathroom fixture manufacturer Waterworks has filed for Chapter 11 bankruptcy and closed 20 stores. The 31-year-old company was forced by economic conditions to perform a rapid downsizing alongside the bankruptcy filing. Waterworks plans on retaining 18 stores.
Mattress manufacturer Spring Air shut down its manufacturing nationwide last week and is filing for bankruptcy protection. The company has been suffering under a severe debt load and reportedly was unable to secure new financing through a buyout. Up to nine plants have been closed and the company's futue is unclear.
Macro-level trend alert: an entire mall announced its closing this week. The Summit, a mall in Buffalo owned by Oberlin Plaza One, is closing in a month after the parent company filed for bankruptcy. The Summit has roughly 25 tenants, excluding its flagship department stores Bon-Ton and Sears, which own their own spaces, as does a Sav A Lot outlet on the site.
Norwood Promotional Products filed for Chapter 11 bankruptcy and is trying to sell its assets. This one's not directly b2c, but if you have a pen, calendar, golf tee or bag from a conference with a logo on it, there's a decent chance it came from Norwood, the second-largest supplier in the U.S. The company cited economic conditions, high debt and a decline in order volume, coupled with $17 million in recent flood damage, as combining to throw the company into bankruptcy. Norwood has arranged a buyer for the tail end of its bankruptcy process.
Hip gym chain Crunch Fitness filed for bankruptcy protection and announced the closing of one of its 25 locations. The company cited slow membership activity and high leases as causing a credit, er, crunch.
Crunch hopes to sell its assets/be acquired by its major lender in a new joint venture; a deal is expected to close in July.
Here's a twist: the ownership group of the Phoenix Coyotes of the National Hockey League filed for bankruptcy as the first step in a potential sale of the organization. The Coyotes claim to have lost money every year since arriving in Phoenix in 2001.
The team hopes to be purchased by the CEO of Research in Motion, makers of the BlackBerry, who will probably try to relocate the Coyotes to Canada. The NHL, meanwhile, was taken by surprise, and is "investigating the propriety of the bankruptcy filing" and the terms of the sale.
Discount retailer Filene's Basement filed for bankruptcy and agreed to sell 17 of its 25 remaining stores as part of its reorganization. The filing is expected to allow the stores to continue operating while the new owner takes over the chain.
Filene's Basement sold itself to a liquidation firm last month as preparation for the move, three months after closing a third of its stores to eliminate underperforming locations.
