• Larry Thomas

Newport converts case to Chapter 7

JACKSON, Miss. - Upholstery producer Newport Furniture, which filed for Chapter 11 bankruptcy protection in June, has converted its case to a Chapter 7 liquidation proceeding.
     The switch was approved by U.S. Bankruptcy Judge Jason Woodard, who ruled that a Chapter 7 case "is in the best interest of creditors and other parties in interest."
     In his order, Woodard also noted that the Chapter 11 filing was a voluntary action, and no trustee had yet been appointed. The order stated that a Chapter 7 trustee should be appointed "at the earliest practicable time."
     The company, which is based in New Albany, Miss., and has exhibited at the Tupelo Furniture Market, estimated its assets at $1 million to $10 million and liabilities of $10 million to $50 million in the original filing.
     Court documents include a listing of its 20 largest creditors - most of which are suppliers of components and fabrics.
     The largest creditor is a Shanghai-based company called Newport Furniture Co. (China), which is owed $7.17 million.
     Other large creditors include American Global Logistics, which is owed $133,100; Consolidated Fibers, owed $123,785; and L8J products, owed $688,699.
     L8J Products is owned by Larry Jackson, the owner of Sleeper Kraft, a supplier of sleeper mattresses and components. Sleeper Kraft is listed separately as a creditor that is owed $32,421.

Larry ThomasLarry Thomas | News Editor, Furniture Today
lthomas@furnituretoday.com

Hi, I'm Larry Thomas, news editor of Furniture/Today. Since joining the staff in 1989, I’ve written about topics ranging from wicker chairs to proxy battles at public companies. In my new post as news editor, I oversee the news coverage for both the print edition and furnituretoday.com. I look forward to discussing key industry issues in this forum, and I welcome your thoughts and opinions.

VIDEOS

  • Deluge of rain didn't dampen full slate of new products

    Camera Icon More Videos

High Point Videos

Scott Brothers at High Point Market with Bill McLoughlin

See our videos from the Spring 2017 High Point Market featuring coverage of the Scott Brothers, Christopher Guy, 3D furniture printing, and our Habitat for Humanity building project. Video coverage sponsored by AcceptanceNOW.