Harry & David Holdings Corp. filed for Chapter 11 bankruptcy protection in the U.S. District Court of Delaware.
Harry & David Holdings Corp. filed for Chapter 11 bankruptcy protection in the U.S. District Court of Delaware.
The company said it filed with a plan to reorganize that’s already been blessed — and more importantly funded — by the owners of the majority of its senior notes. The move allows the company to eliminate much of its debt, along with continuing operations as its moves forward with reorganization, Harry & David reported.
The company, which operates retail and web stores along with its catalog business, suffered a dismal holiday season — a buying period on which it heavily relies. The direct marketer reported that its net income for the second quarter ended Dec. 25 had dropped by 57 percent, to $13.8 million, compared with the same period the previous year. That left it short of promises made to lenders.
Read more at OregonLive.com.
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