fountain auction on the news tonight

[nauti-life]

One Bidder At Fountain Powerboats Bankruptcy Auction
The bankruptcy auction of Fountain Powerboats in Beaufort County was held as scheduled Monday morning.
Posted: 2:50 PM Oct 2, 2009
Fountain Wants Bankruptcy Auction Delayed

Story 11 Comments
Font Size:
There was only one bidder at a bankruptcy auction held at Fountain Powerboats in Beaufort County Monday morning.

That's according to Irving Smith, Fountain Powerboats chief financial officer.


Smith said Oxford Investments was the only bidder and had been approved for a credit bid.

We're told the auction was for all of Fountain's assets, not pieces of them.

The bankruptcy auction started at 10 a.m. at the plant's facility in Washington.

The auction is not finalized until it is approved by a bankruptcy judge.

Another hearing is set for Friday.

Fountain Powerboats is working to appeal the purchase of the Regions Bank note by Oxford Investments.

Fountain continues to try to change its Chapter 11 so it can keep its assets and reorganize.

The auction and the appeal are expected to be part of Friday's hearing.

Fountain had tried to delay Monday's auction, but the delay was not approved by the bankruptcy court.

A schedule posted by the United States Bankruptcy Court Eastern District of North Carolina shows the October 9th hearing as beginning at 9:30 a.m. in Wilson with Judge Randy Doub presiding.

That schedule lists several scheduled matters before the court for Fountain Powerboat Industries Inc.

They include: a motion to sell free and clear of liens; a motion for authority to use cash collateral; a motion to obtain post petition financing; and a motion to appoint Chapter 11 trustee.

Last week, it was reported that Liberty Investments was interested in Fountain. Liberty acquired a majority of shares in Donzi and Pro-line boat companies in the past year. There is no word if Liberty is still working to secure a Fountain deal.

Another powerboat company, Hustler, was interested in Fountain, but the New York company pulled back in light of maneuvers by Oxford Investments, such as the reported purchase of the Regions Bank note.

[jillybird]

Too bad the Court didn't stop the auction. As opposed to a legitimate buyer who would ressurect this iconic brand, Oxford just looks like another scummy Wall Street manipulator seeking to profit from Region Bank's desperation to get a few million bucks out of its huge loan to Fountain. The Liberty bid or the Hustler deal would have been real strategic purchases by investors who have sincere interests in rebuilding a boating brand. Let's hope the court on Friday reconsiders when it hears the appeal.

[Afishinado]

Must not be such a good investment..... That will change, the number or the market, eventually will make sense to somebody

[century29]

Oxford has a lot of ties to the marine industry. I have a feeling Reggie has a few ties to Oxford as well. My guess is you will see him still running the operations when fountain comes back as a leaned out organization under the Oxford umbrella.

[SeaJay]

The basis principal in bankruptcy is that the parties owning the debt get to sell any remaining assets for whatever the market will pay. Doesn't matter if it someone who wants to run the business, or someone who wants to rip up the assets and sell the real estate, or whatever.

[thermasystems]

uuuuuhhhhhhhhhhhhh.

What is that word I am thinking of....

[seabob4]

Originally Posted by thermasystems

uuuuuhhhhhhhhhhhhh.

What is that word I am thinking of....

What IS the word you are thinking of???

[OReely]

Resurrected thread? Oh wait, that's two words.