Broder Bros. Co. Fighting Off Bankruptcy
Trevose, Pennsylvania-based BroderBros. Co. announced the company is undertaking steps to stave off having to put forth a voluntary petition for bankruptcy under Chapter 11 of the U.S. Bankruptcy Code.
In an announcement on April 17, the privately held company detailed its plan to modify its capital structure and assure its short-term liquidity. The plan involves investors exchanging current company notes for longer term-notes with higher yields for all of the company's outstanding $225 million notes.
The company said it must complete exchange of 98 percent of its notes by a May 14, 5:00 p.m. deadline or it will be forced to file Chapter 11 proceedings.