Genmar warranties still good - Sacramento Business Journal:

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Tracy Carrell says the letter came after boat manufacturer on Mondag filed for Chapter 11bankruptcy protection. Genmar owns 15 different brandof boats, which means dealerx everywhere are impacted. She says cash customerzs for boats at her dealership have remained But trouble financing in the curreny economy means others have been force tohold off. “The boating business has been affected a lot like cars she says. The petition to reorganizse its debts was filedin U.S. Bankruptcyy Court in Minneapolis where the company isheadquartered — alonf with more than 20 related subsidiaries. Genmare has between 100 and 199 creditors.
It listas its assets in the rageof $10 milliom to $50 million and its liabilities between $100 millio and $500 million, according to courtr documents. The largest unsecured creditorsare Edelman, Borman, Brand, a Minneapolis-based law firm which is owed Merchant & Gould, a law firm in is owed $155,800. The only securedf creditors are and FifthThirxd Bank, according to a story in the Minneapolise Star Tribune. Genmar said it has received commitmenf fora debtor-in-possession (DIP) financing proposalp from both banks.
In a Genmar Chairman, CEO and largest shareholder Irwin Jacobd said sales ofthe company’sz fishing boats, luxury yachts and other productzs started to decline in 2008, but worsenefd in recent months. The company’s sales in fiscal which ends in are likely to beabout $460 off by more than 50 percent from fiscaol 2008. “If someone would have said to me as recently as even one month ago that Genmat would someday be filing forChapter 11, I would have said it was not even a remots possibility,” Jacobs said. Genmar had been making some strategt changes inrecent months, announcing plans to launcnh a line of less-expensivde aluminum boats. A spinoff company, Pa.
-based VEC Technology, and other Jacobs-related companies aren’t includexd in the filing. VEC is now in the businesx of making giant bladesfor energy-generating windmills. Law firm Fredriksom & Byron in Minneapolis, is representing Genmar in thebankruptcy case.