CLICK FOR A FREE CONSULTATION

OR call us at 602-456-6085 today.

Furniture Brand International Inc., the maker of furniture brands such as Thomasville, Broyhill, Lane and Drexel Heritage has filed for Chapter 11 bankruptcy protection.  The company is one of the largest furniture manufactures in the U.S.. The St. Louis based company, struggled like many other companies after the collapse of the housing market and foreign competition.   The furniture maker is selling all but its Lane business to Los Angeles based distressed-debt investor Oaktree, subject to higher bids at a bankruptcy auction.  The furniture brands listed assets of $546.7 million and debt of $550.1 million in its initial petition.

Firms that specialize in investing in distressed debt are sometimes referred to as vulture funds.  They buy the debt at a huge discount and hope to regain a high return if the company does not go bankrupt or defaults.  Investors try to influence the process in which the issuer restructure its debts, and may also invest new capital in the struggling company in the form of debt or equity.

Furniture Brands had sales of about $1 billion in 2012, roughly half its total a decade ago. The company lost more than $91 million in its last two fiscal years, and analysts are predicting another loss in 2013. It hasn’t made a profit since 2006.  Further, the company owes more than $200 million in unpaid pension obligations.  At the end of 2012, the company employed 5,600 people in the U.S. and another 3,500 overseas.

In a situation like this, the bankruptcy process is a viable long-term solution, which addresses it liquidity challenges.  Furniture Brands’ portfolio includes some of the most well-respected brands in the furniture industry, and should find itself in a better financial position once Oaktree steps in.

Read more about our bankruptcy services…

Ways we can help…

Receive a FREE Consultation
Bankruptcy Attorney Clients

Receive a FREE Consultation

Use the form below or call us at 866-703-3287 today. We’re here to help.

Our Locations

  • Phoenix Office – New
    Wright Law Offices 
    2999 N. 44th St., Ste 600
    Phoenix AZ 85018 

    Telephone: 602-456-6085 / 866-703-3287
    Phoenix Law Office
  • Phoenix Office – Old
    Wright Law Offices 
    668 N. 44th St., Ste 320
    Phoenix AZ 85008 

    Telephone: 602-456-6085 / 866-703-3287
    Phoenix Law Office
  • Scottsdale Office 
    Wright Law Offices 
    7135 East Camelback Road, Ste 230
    Scottsdale AZ 85251 

    Telephone: 480-845-0145 / 866-703-3287
    Scottsdale Law Office

  • Tempe Office 
    Wright Law Offices 
    2238 S. McClintock Dr.
    Tempe AZ 85258 

    Telephone: 480-845-0145 / 866-703-3287
    Tempe Law Office

  • Avondale Office
    Wright Law Offices 
    12725 W Indian School Rd, Suite E-101
    Avondale AZ 85392 

    Telephone: 623-258-4480 / 866-703-3287
    Avondale Law Office

  • Mesa Office
    Wright Law Offices 

    4856 E. Baseline Rd.
    Suite #104
    Mesa, AZ 85206
    Telephone: 480-845-0145 / 866-703-3287
    Mesa Law Office

  • Glendale Office 
    Wright Law Offices 
    20325 N. 51st Ave., Suite 134
    Glendale, AZ 85308
    Telephone: 623-258-4480 / 866-703-3287
    Glendale Law Office

What our clients are saying…

TOP Rated PHOENIX BANKRUPTCY ATTORNEY

Mr. Wright and his staff were amazing. They made a negative situation a lot better and turned it into a positive. Could really tell they care helping people and I will refer their Phoenix Bankruptcy Attorney firm to friends and family. Thanks again.

Tara
TOP Rated PHOENIX BANKRUPTCY ATTORNEY

I called around looking for the right bankruptcy lawyer and came across Benjamin Wright. He personally called me for the consultation seeing how I live in Kingman AZ. He was very helpful from the start and his staff was very friendly and explained any questions I had, sorry for all the questions. I would definitely recommend Wright law offices, and I do!! Thanks for everything, you made what seemed like a hard thing to do simple!! You guys rock!!!

Steffanie
TOP Rated PHOENIX BANKRUPTCY ATTORNEY

Great lawyer, he really helped my mother out of a jam. She was totally new to bankruptcy and he talked with us for about an hour and a half to make sure she wouldn’t be worried.

Damian
TOP Rated PHOENIX BANKRUPTCY ATTORNEY

Ben is a kind and down to earth attorney. He worked around my busy schedule as a single mom (school, full-time job, and daycare pick up and drop off times). He explained absolutely everything to me and was good about e-mailing. I am writing this review as a THANK YOU.

Shannon
TOP Rated PHOENIX BANKRUPTCY ATTORNEY

I had a very positive experience with Attorney Wright. He or his staff returned my e-mails and calls promptly (even after business hours occasionally). His fees were reasonable. He was patient with me when I showed up in court missing an important document. He is aggressive, but fair and nice.

Jenna