THE VIRGINIAN-PILOT
Copyright (c) 1996, Landmark Communications, Inc.
DATE: Saturday, October 26, 1996 TAG: 9610260467
SECTION: BUSINESS PAGE: D1 EDITION: FINAL
SOURCE: STAFF REPORT
LENGTH: 26 lines
Best Products Co., the Richmond-based retail chain that sought protection from creditors in bankruptcy court last month, will begin liquidating $380 million of inventory at 81 stores on Sunday.
The stores, located mostly in western and midwestern states, are scheduled to close as part of Best's financial reorganization. The only Best store in Virginia that is due to close is in Springfield.
The company has 169 stores, including three showroom stores and a jewelry store in South Hampton Roads. The four stores in this region will remain open.
Earlier this week, the investment groups Shottenstein Bernstein Capital Group L.L.C. and Alco Group Inc. won the right in federal bankruptcy court in Richmond to conduct the liquidation of inventories at the stores that are closing.
The two companies said the ``going-out-of-business'' sale at 81 Best stores would continue until all merchandise is sold. Certain proceeds from the liquidation will go to Best's creditors, who are owed more than $500 million.
Chapter 11 of the federal bankruptcy code allows a company time to restructure its debts under court protection from creditors. by CNB