Master Graphics Unveils Chapter 11 Recovery
CORDOVA, TN—Master Graphics has announced the principal terms of a comprehensive business plan for the restructuring of its operating subsidiary, Premier Graphics.
Under the new business plan, Premier Graphics' operations will be restructured around a core group of 11 of its divisions. Proceeds from the sale or other disposition of the company's remaining, non-core divisions will be used to reduce Master Graphics' secured indebtedness and for working capital purposes.
"This business plan forms the basis of our Chapter 11 plan of reorganization, which will be filed and announced by year end (2000) as planned," notes Michael Bemis, Master Graphics chairman and CEO. "The reorganized Master Graphics will continue its operations through those divisions that have the best prospect of continued success, with a streamlined capital structure and significantly reduced debt."
Also under the plan, the core divisions and the locations of their facilities are as follows: Argus Press in Niles, IL; B&M Printing in Memphis, TN; Golden Rule Printing in Huntsville, AL; Harperprints in Henderson, NC; Jones Printing in Chattanooga, TN; Lithograph Printing in Memphis, TN; McQuiddy Printing in Nashville, TN; Sutherland Printing in Montezuma, IA; Thomasson Printing in Atlanta; White Arts/TPC in Indianapolis; and Woods Lithographics in Phoenix.
Bemis hopes to make the Chapter 11 stay as short as possible.
"We expect to complete our reorganization plan and exit Chapter 11 early in the first quarter of 2001, keeping our stay in Chapter 11 to approximately six months," Bemis adds. "This fast-track reorganization plan brings to Master Graphics' customers, vendors and employees the certainty and stability necessary to move forward in the competitive, general commercial printing industry."
At press time, the company had also filed a motion seeking a 45-day extension of the exclusive period in which a debtor could file a plan of reorganization. According to Master Graphics, this brief extension was consistent with its planned, fast-track emergence and would afford it the opportunity to convert its business plan into a plan of reorganization filed with the Bankruptcy Court within a short period of time.
Master Graphics began Chapter 11 reorganization proceedings in Delaware on July 7 of last year. The company provides general commercial printing products to customers throughout the United States. The products are produced through several operating divisions of Premier Graphics.