CEDAR GROUP FILES CHAPTER 11
CEDAR GROUP FILES CHAPTER 11 PHILADELPHIA, Sept. 1 /PRNewswire/ -- Cedar Group, Inc.
(NASDAQ-NMS: CDRG) today announced it has filed for protection under Chapter 11 of the U.S. Bankruptcy Code in the U.S. Bankruptcy Court for the Eastern District of Pennsylvania.
A spokesman for the company indicated that this step was taken to protect the company's asset base and ongoing operations for the overall benefit of the shareholders, employees and creditors. According to the spokesman, the company needs the protection of the Bankruptcy Court in order to effect some of the internal changes that are required to stabilize operations, to the best extent possible. Principally, the company is seeking to gain the use of cash generated through operations in order to increase product purchases so as to better balance inventories and reverse the trend of decreasing sales over the past year or more. Management said it expects the bankruptcy filing will provide short- term relief from certain of the restrictive terms of the company's present line of credit which had otherwise been draining a principal portion of the company's operating capital. In two unrelated matters, the company has received the resignation of Warren Nuessle from its board of directors and has been notified by NASDAQ that its securities will no longer retain listing on the National Market System. The securities of the company, will, however, continue to be listed on the regular NASDAQ system. /delval/ -0- 9/1/92 /CONTACT: Stephen S. Simyak of the Cedar Group, 215-843-2561/ (CDRG) CO: Cedar Group, Inc. ST: Pennsylvania IN: SU: BCY PER
MJ-CC -- PH021 -- 5485 09/01/92 14:05 EDT
|Printer friendly Cite/link Email Feedback|
|Date:||Sep 1, 1992|
|Previous Article:||CITIZENS' GROUPS SEEK BASE CLOSURE REVIEW|
|Next Article:||PHILADELPHIA ELECTRIC COMPANY RELEASES ANNOUNCEMENT REGARDING $9.50, 1986 SERIES, PREFERRED STOCK SINKING FUND|
|CEDAR GROUP ANNOUNCES SECOND QUARTER SALES|
|CEDAR GROUP ISSUES ANNOUNCEMENT|
|CEDAR GROUP ANNOUNCES SECURITIES REMOVAL FROM NASDAQ SMALLCAP MARKET|