FAIRFIELD, IA — Harper Brush Works Inc., an Iowa-based broom and brush manufacturing company, announced on May 29, 2012, that it has filed for reorganization under Chapter 11 of the U.S. Bankruptcy Code, according to a press release.
With the loss of a significant customer in 2010, and carrying added debt from their expansion, the company has experienced financial challenges, the release stated.
According to the release, under Chapter 11, Harper Brush will be able to restructure its obligations, while continuing to operate and meet the needs of its customers and employees.
"After careful consideration of our options, the board of directors and the senior management team believe that Chapter 11 is a necessary step to create a solid foundation for the future growth and success of Harper Brush Works," said Marc Ross, chief restructuring officer.
"We will continue to manufacture the quality products that our customers have come to expect from us during our 112-year history. Our success as a company is largely due to the hard work and dedication of our highly skilled labor force and the great customer relationships we have built over our history. This step is being taken in order to ensure that our company is able to effectively serve those loyal customers for the next 112 years," Ross added.
Click here to read the complete release.