Land and Sky files for Chapter 11
David Perry -- Furniture Today, November 10, 2003
Lincoln, Neb. — Land and Sky, a well-known name in the specialty sleep arena, filed for Chapter 11 bankruptcy protection last month.
The company, based here, produces and markets air mattresses, foam mattresses and related specialty sleep products. It employs about 40 workers at its plant here.
Ron Larson, chief executive officer, said the company continues to produce specialty sleep beds. He said Land and Sky will present a plan of reorganization to the court in January, adding that he's hopeful the company will emerge from Chapter 11 and resume normal operations.
Larson said the Chapter 11 filing stemmed from the company's late decision to exit the flotation product category.
"The waterbed business was a declining business," he said. "We sold that business last December. The trend is toward air and foam. That is how we repositioned the company."
In its Chapter 11 petition, filed in U.S. Bankruptcy Court in Nebraska, Land and Sky said its assets and debts were both in the $1 million to $10 million range. Furniture industry suppliers among its 20 largest unsecured creditors include Future Foam, owed $99,343; Reliance Products, $46,159; Foamex, $35,520; Global Textile Alliance, $33,335; Burlington Inds., $19,607; and GMAC Commercial Finance, $18,692.
