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Entries in Vann's closure (3)

Monday
Apr082013

Vann's loses lease, will close Missoula and Bitterroot stores

(MISSOULA)- Vann's is announcing plans to close its stores in Missoula and Hamilton after the company was unable to work out a deal to stay in their present locations. 

However, Vann's Acquisition LLC Chief Executive Office Greg Regelbrugge says the retailer still hopes to work out arrangements to return to both markets in the next future. 

Vann's Acquisition had purchased the locally-owned company from founder Pete Vann last year after he'd been forced to come back in and take over the struggling company, which was mired in debt. 

Since then, Regelbrugge says sales have been growing. But he says the company couldn't reach an agreement with Vann, who wanted to sell the stores in Missoula, Hamilton and Kalispell. 

Today Regelbrugge announced the company has been unable to reach agreement to extend the lease. Other attempts to move to a new location in North Reserve also haven't panned out. So Vann's will close in Hamilton by the end of this month, and by the end of May in Missoula. All of the company's business operations will move to Bozeman. 

Regelbrugge is still hopeful of making arrangements to keep the Kalispell operation open in a temporary location. The company's ON Store in the Southgate Mall will remain open. 

Wednesday
Oct032012

Vann's gets additional month to work on possible sale

(MISSOULA)- With a court-appointed trustee keeping tabs on things, creditors have agreed to give troubled electronics and appliance retailer Vann's another month to work out a possible sale. 

Vann's is in the middle of a Chapter 11 bankruptcy proceeding, as it struggles to re-bound after being hammered by the recession and changing trends in the retail marketplace. 

The extension came after the parties met for another hearing in U.S. District Court on Tuesday. Creditors, who had been pushing for conversion of the case to a Chapter 7 proceeding with immediate liquidation, agreed to give Vann's additional time to try and work out a possible sale to new owners. The company hasn't identified that investor, but said this week a Bozeman party was interested. 

The court ordered the use of a trustee, who will monitor the company's operations in the coming weeks.

Without the reprieve, Vann's had said it would be forced into liquidation and closing its operations statewide before the holiday shopping season. 

 

Thursday
Sep202012

Vann's to close, layoff employees

KPAX TV photo by Dennis Bragg(MISSOULA)- The CEO of Vann's appliance stores says the continued slide in sales, and an erosion of creditor confidence is what foreced the decision to close the Montana-based store in a few weeks.

Vann's filed for bankruptcy in August, hoping to re-organize its debts in an effort to rebound in the competitive appliance and home electronics business.

But CEO Jerry McConnell tells KPAX TV slumping sales headed into the holiday season undermined the confidence of the company's creditors, and are forcing Vann's to take more immediate action. Yesterday the company sent a letter to employees notifying them of layoffs in November. That impacts about 150-employees at stores in Missoula, Kalispell, Billings, Hamilton and other markets across the state.

McConnell says Vann's is considering its next move to either sell to someone else or liquidate. 

Vann's had filed a Chapter 11 bankruptcy proceeding. But this week GE Commercial, one of the major creditors, asked the court to convert the case to Chapter 7, which would involve liquidation with a court-appointed trustee. In court documents, GE Commercial said it was concerned about the company's negative cash flow headed into the important holiday season. A hearing on that request is set for next week in Missoula.