Sport-Haley Holdings, Inc., a diversified holding company, has filed voluntary petitions for relief under Chapter 11 of the United States Bankruptcy Code today as part of its agreement with its secured lender. The filing, done in cooperation with the company's primary lender, will allow the Denver, Colorado based Company to complete winddown of its Chromcraft Revington affiliate, reduce outstanding debt and maximize value for all stakeholders. The petition does not include or impact Sport-Haley Inc., an independently operated manufacturer of womens' specialty sportswear whose sole shareholder is Sport-Haley Holdings Inc.
"After extensive discussions with Chromcraft's primary lender, we have decided to take the necessary step to protect our ongoing operations, as we continue with the winddown of our Chromcraft Revington affiliate. The purpose of the filing is to gain bankruptcy court protection while we restructure our balance sheet. Throughout this process, we intend to continue business as usual," said Samuel Kidston, Chairman and CEO of Sport-Haley Holdings Inc.
Merchant Factors will provide a debtor-in-possession financing facility to enable normal operation of the Company's ongoing operations, including the normal course payments to employees.
Organized in 2011, Sport-Haley Holdings, Inc. is a diversified holding company focused on increasing shareholder value by maximizing intrinsic value per share over the medium- and long-term through the effective turnaround and management of its acquired companies.
Headquartered in Mississippi, Chromcraft Revington designs, manufactures and imports residential and commercial furniture marketed primarily in the U.S. The company wholesales its residential furniture products under Chromcraft®, Cochrane®, Peters-Revington®, and CR Kids & Beyond® primary brands. It sells commercial furniture under the Chromcraft® brands. Chromcraft sources furniture from overseas suppliers, with domestic contract specialty facilities, and operates a U.S. manufacturing facility for its commercial furniture and motion based casual dining furniture in Mississippi.