Heilig-Meyers posts $160,000 April net loss
By Furniture Today Staff -- Furniture Today, June 24, 2002
RICHMOND, Va. — Heilig-Meyers reported a $160,000 net loss in April as bankruptcy reorganization items again took the biggest bite out of the retailer's bottom line.
Sales during the month were $27.2 million, and operating income before reorganization items, a delivered sales adjustment and income taxes was $8,000.
The company reported $428,000 in reorganization costs, the bulk of it — $389,000 — in legal and professional fees related to its Chapter 11 bankruptcy proceedings.
For the first two months of its fiscal year, Heilig-Meyers had a profit of $433,000.
The 67-store The RoomStore chain, the surviving division, "continued to perform at or above our expectations in terms of sales volume," said Ron Barden, managing director of reorganization for Heilig-Meyers.
"Overall, RoomStore is doing what we expect it to do and a little more," he said.
The company is also pleased with is liquidity position in terms of cash flow, he said, noting, "We are not borrowing anything on our credit facility."
