Court OKs bankruptcy reorganization plan for major Hawaiian souvenir retailer Hilo Hattie
By APMonday, September 14, 2009
Court OKs Hilo Hattie bankruptcy plan
HONOLULU — U.S. Bankruptcy Court Judge Robert Faris has approved a plan to reorganize Hilo Hattie.
The approval that came Monday will enable the major retailer of Hawaiian souvenirs and aloha attire to emerge from Chapter 11 bankruptcy Oct.4.
The plan by Royal Hawaiian Creations would wipe out about $14 million in debt to keep Hilo Hattie in business while preserving numerous vendor relationships.
Royal Hawaiian Creations is the largest unsecured creditor in the bankruptcy case. The garment manufacturer is owned by Donald Kang, who obtained control of Hilo Hattie through a stock purchase in June.
Royal Hawaiian Creations has already invested $1 million in Hilo Hattie. It will invest an additional $3 million to pay claims necessary for Hilo Hattie to exit bankruptcy.
Tags: Hawaii, Honolulu, North America, United States
|
October 29, 2009: 3:39 pm
Aloha, I’m very happy to learn that Hilo Hattie’s, an icon in Hawaii for decades will continue to operate. We always take our friends from the mainland to the store on Nimitz Hwy when they visit the islands. Mahalo for the story. |
Colette Aoki