Anchor Bolt Machinery & Equipment to be Auctioned August 26
8/5/2009
Anchor Bolt Machinery & Equipment to be Auctioned August 26
The remaining machinery, equipment and inventory from Anchor Bolt & Screw Company will be auctioned August 26, 2009, and the plant will be marketed for sale.
Up for auction are 30 Sacma, Chun Zu, National, and Waterbury Farrel cold headers; 17 Hartford and Waterbury thread rollers; 20 wire drawers, Tektronix sorting and packaging equipment; point formers; slotters; wire heaters; butt welders; elevator loaders; inspection equipment; hobbing presses; plus packaging & assembly, tool room, plant and office equipment.
The sale will be at 10 a.m. August 26 in the Anchor Bolt plant at 1560 Frontenac Rd., Naperville, IL 60563.
Auction information is available from Premier Asset Recovery Group LLC. Tel: 312 280-1234 E-mail: info@premierarg.com
Anchor’s board and shareholders executed an Assignment for the Benefit of Creditors in July.
Founded in 1952 in Chicago, Anchor Bolt manufactured and distributed fasteners. A major customer was the truck trailer industry.
In 2007 Anchor Bolt relocated to an 85,608 sq ft plant in the Chicago suburb of Naperville, IL.
“The extreme cost of this move was ill-timed as it paralleled a declining economy and a severe pull back in the truck trailer industry,” Gregory Less of Raffinato Partners, the assignee for the benefit of creditors wrote. “During this crucial time, many key employees were either unable or unwilling to commute to the new location, this just added to the mounting pressure on the company to perform at a profitable level.”
Less also noted the “drastic demise of the banking industry during this period created a lack of ability for ABSCO to borrow against the ever depreciating assets of the company” and the company had to “drain itself of working capital while going deeper and deeper into debt.”
Anchor Bolt began to have trouble procuring materials, supplies and services and sales fell.
Attempts to restructure failed and “the company made the decision to lay off the few remaining employees and cease business operations in March of 2009.”
At that point Anchor Bolt estimated assets included $58,000 in accounts receivable, $440,000 in inventory, $325,000 of machinery, equipment and personal property and an estimated $2.8 million in real estate.
“It is the judgment of the Assignee that the only remaining value of the company will come from the piece meal liquidation of the assets and there is no value in any continued business operation,” Less wrote.
The real estate value is based on a $33 per sq ft immediate sale estimate, but the Bank of America “has made concessions and financial commitments to grant the Assignee one year” to find a buyer closer to a $40 to $45 per sq ft price in “a more conventional market.”
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