Insolvency Services: Retail

The Client:
A fifty-nine store big box retailer with sales of $300 million had filed for Chapter 11 bankruptcy protection, attempting to operate on a cash collateral basis with an asset-based loan totaling $125 million.

The Problem:
Management failed to organize for the bankruptcy and could not effectively communicate its plan to restructure the company. Dissatisfied with performance, the Creditor Committee and Ad hoc Bondholder Committee supported by the Board of Directors retained Solutions Management as temporary management.

The Need:
Take control of the limited cash, restore vendor confidence, get the store operations focused on sales and profitability while developing a Plan of Reorganization.

<< Return to Main Case Study Page