Luhrs Marine Group yesterday filed for Chapter 11 bankruptcy protection in federal bankruptcy court in New Jersey. The parent of the Luhrs, Mainship, Hunter and Silverton brands, as well as five additional subsidiaries, listed the estimated number of creditors between 1 and 49, with estimated liabilities between US$1-US$10m.
The company, with production facilities in New Jersey and Florida, estimated its assets between US$10-US$50m.
According to its bankruptcy petition, its three largest creditors were Textron (US$1.02m), Ven Yachts in Venezuela (US$200,000) and GE Commercial Distribution Finance in Europe (US$153,805). Other creditors owed more than US$50,000 included KDE Marin Denizcilil in Turkey, Athey & Company in New Jersey, Gioia Sails in New Jersey, and Bank of America Trade Operations in Pennsylvania.
Morgan Industries Corp of St Augustine, Florida, was listed as the sole owner of the company. John T Peterson, president of Hunter Marine, was listed as the company’s chief restructuring officer. A document signed by the full board of directors also appointed him company treasurer.
Peterson yesterday told Soundings Trade Only that Hunter has secured interim financing from the Bank of America to keep its St Augustine facility operating. About 60 people were laid off from its powerboat production facility in New Jersey.
“Our orders are fairly strong right now,” Peterson told the website. “I think things are going fairly well [for Hunter]. We could certainly pay for ourselves on an ongoing basis, but we could not pay for the whole group on an ongoing basis.” He added that “numerous” entities would be interested in buying Hunter and other company assets.
Its powerboat production facility shut down in January. The builder said it would be for 60 to 90 days to allow boat orders to accumulate.