Fuller Brush Files For Chapter 11
The Fuller Brush Company announced that it has filed protection from its creditors under Chapter 11 of the U.S. Bankruptcy code in the U.S. Bankruptcy Court for the Southern District of New York, Case No. 12-10714, according to the Wall Street Journal.
According to Chief Restructuring Officer, Lawrence Perkins, the filing was a necessary means to effectuate a reorganization of the Company in an effort to return the Company to profitability and restructure its balance sheet. The Company has negotiated a new line of credit that provides immediate and ample funds for working capital while undergoing the reorganization. The Company is lowering its operating costs, while seeking to broaden its existing revenue streams.
"After careful consideration of Chapter 11 at this time the board of directors and senior management team believe this is a necessary step and the right thing to do for the future success of the Company," stated CRO Lawrence Perkins.
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