Cannondale Chapter 11
- Thread starter Bill Hibbs
- Start date
- Aug 2, 2000
- 13,510
- 19
So the VOR/ATK thing fell through? I see they are "Blowing out" all VOR parts.
weimedog,
First off let me say…nice job with the play-on words associated with my handle. LOL that’s what it’s there for…it’s meant to be humorous. My signature used to show “that’s not 2 stroke oil your smelling”…I don’t know what happened to it. Anyway to get to the point… I own a Cannondale and have had the opportunity to ride a VOR on 2 occasions. Vor makes a very nice bike as do a lot of other manufacturers. Congratulations on their 2 ISDE titles. That being said…your right…motorcycles are a “subjective” issue regarding personal preference. Does Cannondale make a good bike? You bet! Does Vor make a good bike? You bet!...as does Honda, Yamaha, KTM, and many others. But, as far as stating a “subjective” opinion (as you said) as fact not once but twice (“Vor…developed a much better motorcycle” and “As far and performance and handling...Cannondale wasn't close”) and then stating another opinion, about the experiences of someone you have never meet, as fact (“Until you have riden both, you can have that doubt”) smells of DOG S#*T to me (right back at ya). When ppl start saying things like, my bikes better than yours, it irritates me to no end. We all love to ride…ride what you want…and enjoy ever minute of it. That's all that matters. Sorry if my previous post seemed crass…I’m a little peeved about C’dales current position…quite possibly as you about VOR. Hopefully both will make it though.
Ps. If you or anyone else wants to flame me or my bike(s) for what I have said…then feel free. If you do so, just remember the differences between a fact and an opinion.
First off let me say…nice job with the play-on words associated with my handle. LOL that’s what it’s there for…it’s meant to be humorous. My signature used to show “that’s not 2 stroke oil your smelling”…I don’t know what happened to it. Anyway to get to the point… I own a Cannondale and have had the opportunity to ride a VOR on 2 occasions. Vor makes a very nice bike as do a lot of other manufacturers. Congratulations on their 2 ISDE titles. That being said…your right…motorcycles are a “subjective” issue regarding personal preference. Does Cannondale make a good bike? You bet! Does Vor make a good bike? You bet!...as does Honda, Yamaha, KTM, and many others. But, as far as stating a “subjective” opinion (as you said) as fact not once but twice (“Vor…developed a much better motorcycle” and “As far and performance and handling...Cannondale wasn't close”) and then stating another opinion, about the experiences of someone you have never meet, as fact (“Until you have riden both, you can have that doubt”) smells of DOG S#*T to me (right back at ya). When ppl start saying things like, my bikes better than yours, it irritates me to no end. We all love to ride…ride what you want…and enjoy ever minute of it. That's all that matters. Sorry if my previous post seemed crass…I’m a little peeved about C’dales current position…quite possibly as you about VOR. Hopefully both will make it though.
Ps. If you or anyone else wants to flame me or my bike(s) for what I have said…then feel free. If you do so, just remember the differences between a fact and an opinion.
This deal had a sad begining and ending. The bikes had some great innovations but were not complete. One magazine really jumped the gun on calling it the bike of the year and another ripped it to shreds. If they wanted to build a high end product they succeed because it was so high end no one wanted to buy it. They really rushed the bike to the market as well without doing their homework and getting the bugs out. Here's a tip for whoever takes it over, we want light weight, mega power, perfect handling, and competitive pricing.
Hey Barbarian, maybe your great grandpappy would've thought that way about the efforts of Orrville and Wilbur....wait a minute... didn't they start out making bikes also? Seriously though, America is awesome because we think outside the box. I.E. why bring cool air(good) into the engine past the hot exhaust(bad) and make both elements do a U-turn? The reason most of us like "machines" in the first place is this kind of stuff. Let's perfect the concepts here and then Rape the producers via progressive taxes so we can reward the slugs who won't produce, and let the Koreans and Malasians mass produce them. Sorry, weren't we talking about fun stuff?
Saw this today on www.quicken.com. Not sure what it means for the motorcycle division. If I understand this they bought both the bicycles and motor sports, and are not going to continue the motorsports (David Uri - "closed motorsports business "). I'm glad at least the bicycle division survived. You'd think someone would have picked up the ATVs. They made money didn't they (the ATVs, I know the motorcycles lost a lot)?
"
BETHEL, Conn., March 21 /PRNewswire-FirstCall/ -- Cannondale (BIKEQ.PK) today announced the results of yesterday's separate auctions of its bicycle and motorsports divisions. The auctions for the assets of both divisions were conducted under Section 363 of the United States Bankruptcy Code at the Company's Bethel, Connecticut headquarters, pursuant to the March 3rd, 2003 order by the Bankruptcy Court. Cannondale filed a voluntary petition for chapter 11 protection in the U.S. Bankruptcy Court in the District of Connecticut (Bridgeport Division) on January 29th, 2003.
After a vigorous auction, the assets of the Company's bicycle and motorsports divisions are to be purchased by an affiliate of Pegasus Partners II, L.P. ("Pegasus"), subject to the approval of the Bankruptcy Court. The terms of the winning bids were not disclosed. Cannondale's largest secured creditor, Pegasus had agreed in late January to act as the "stalking horse" bidder in the sale. At that time, Pegasus stated its commitment to working with current management and operating the bicycle business as a going concern. Pegasus has indicated that it does not intend to operate the motorsports division.
Cannondale's founder Joe Montgomery was pleased with the outcome of the auction. "This is a huge step toward successfully realizing our three key objectives: ensuring a quick emergence from chapter 11, restoring focus and adding resources to the bike division so it can continue to thrive and prosper, and preserving our employees' jobs in Connecticut and Pennsylvania." Besides its Connecticut and Pennsylvania locations, the Company also operates subsidiaries in Europe, Japan and Australia. Although included in the sale, the subsidiaries had not been included in or affected by the Chapter 11 filing.
Montgomery was also eager to thank the many groups who have supported Cannondale through the Chapter 11 process. "Our dealers, suppliers, customers and employees have really stood by us, and we're extremely grateful." said Montgomery. "I'd also like to thank the many state officials in Pennsylvania who have been so cooperative and supportive, particularly the Governor's Action Team and the Department Of Community And Economic Development. I'm confident that the senior management team, led by Dan Alloway and Scott Montgomery, will continue to uphold the culture and values that have made Cannondale a great company."
Scott Montgomery and Alloway voiced their eagerness to move forward as Cannondale begins to emerge from bankruptcy. "The successful auction and the speedy resolution now enables us to focus on bicycle delivery and service as we enter the busy spring selling," said Alloway, Cannondale's Vice President of Sales and European Operations. Scott Montgomery, Cannondale's Vice President of Marketing, concurred. "We're happy to be able to concentrate on the bike business again, and we're feeling great about the future with Pegasus as our partner," said Montgomery. "We're producing and shipping 2003 product every day, and the 2004 line is loaded with new innovations."
David Uri, a Partner at Pegasus explained its bid for Cannondale. "Cannondale is one of the world's premium bicycle brands," said Uri. "The fact that the bike division has remained profitable despite the distraction and costs of its now closed motorsports business clearly demonstrates the strength of the brand. Our job now is to let Cannondale concentrate on what Cannondale does best -- designing, manufacturing and marketing lightweight, high-performance bicycles for the specialty retail market."
Jeffrey R. Manning of Legg Mason Wood Walker, Inc, the Baltimore, Maryland-based financial firm that assisted Cannondale in the sale process, stated that there was a great deal of interest in the Company, despite the uncertain economy and events in the Middle East. "Cannondale is an internationally recognized brand, the bike business is profitable, and has always been profitable," Manning added. "With the ability to focus exclusively on its bike business, the Company should do very well as it emerges from bankruptcy."
The auction marks Cannondale's continued rapid progression through the chapter 11 process. Earlier this month workers returned to the Company's Bedford, Pennsylvania bike factory to resume production of bicycles and cycling accessories, ending a temporary work furlough. It is expected that Cannondale will officially emerge from chapter 11 within the next several weeks, following the Court's anticipated approval of yesterday's auction and the subsequent closing of the sale. Elizabeth Fox of Fox Racing Shox, Chairperson of the Official Committee of Unsecured Creditors, stated that in connection with the auction process, the Committee reached a favorable agreement with Pegasus and fully supports the sale to Pegasus. Fox commented that she hoped this agreement would pave the way for the continuation of the supportive relationship between Cannondale and its vendors.
Cannondale is the world's leading manufacturer of innovative, high-performance, lightweight aluminum bicycles, successfully marketing its bicycles and cycling accessories in more than 70 countries worldwide.
Pegasus Capital Advisors, L.P., based in Greenwich, Connecticut, is a private equity investment firm with approximately $800 million under management.
ABOUT LEGG MASON WOOD WALKER, INCORPORATED.
Legg Mason Wood Walker, Incorporated is a wholly-owned subsidiary of Legg Mason, Inc. (NYSE: LM, news), a Baltimore, Maryland-based holding company that provides asset management, securities brokerage, investment banking, and related financial services through its subsidiaries.
SOURCE Cannondale
CONTACT: Tom Armstrong of Cannondale, +1-203-749-7174
"
BETHEL, Conn., March 21 /PRNewswire-FirstCall/ -- Cannondale (BIKEQ.PK) today announced the results of yesterday's separate auctions of its bicycle and motorsports divisions. The auctions for the assets of both divisions were conducted under Section 363 of the United States Bankruptcy Code at the Company's Bethel, Connecticut headquarters, pursuant to the March 3rd, 2003 order by the Bankruptcy Court. Cannondale filed a voluntary petition for chapter 11 protection in the U.S. Bankruptcy Court in the District of Connecticut (Bridgeport Division) on January 29th, 2003.
After a vigorous auction, the assets of the Company's bicycle and motorsports divisions are to be purchased by an affiliate of Pegasus Partners II, L.P. ("Pegasus"), subject to the approval of the Bankruptcy Court. The terms of the winning bids were not disclosed. Cannondale's largest secured creditor, Pegasus had agreed in late January to act as the "stalking horse" bidder in the sale. At that time, Pegasus stated its commitment to working with current management and operating the bicycle business as a going concern. Pegasus has indicated that it does not intend to operate the motorsports division.
Cannondale's founder Joe Montgomery was pleased with the outcome of the auction. "This is a huge step toward successfully realizing our three key objectives: ensuring a quick emergence from chapter 11, restoring focus and adding resources to the bike division so it can continue to thrive and prosper, and preserving our employees' jobs in Connecticut and Pennsylvania." Besides its Connecticut and Pennsylvania locations, the Company also operates subsidiaries in Europe, Japan and Australia. Although included in the sale, the subsidiaries had not been included in or affected by the Chapter 11 filing.
Montgomery was also eager to thank the many groups who have supported Cannondale through the Chapter 11 process. "Our dealers, suppliers, customers and employees have really stood by us, and we're extremely grateful." said Montgomery. "I'd also like to thank the many state officials in Pennsylvania who have been so cooperative and supportive, particularly the Governor's Action Team and the Department Of Community And Economic Development. I'm confident that the senior management team, led by Dan Alloway and Scott Montgomery, will continue to uphold the culture and values that have made Cannondale a great company."
Scott Montgomery and Alloway voiced their eagerness to move forward as Cannondale begins to emerge from bankruptcy. "The successful auction and the speedy resolution now enables us to focus on bicycle delivery and service as we enter the busy spring selling," said Alloway, Cannondale's Vice President of Sales and European Operations. Scott Montgomery, Cannondale's Vice President of Marketing, concurred. "We're happy to be able to concentrate on the bike business again, and we're feeling great about the future with Pegasus as our partner," said Montgomery. "We're producing and shipping 2003 product every day, and the 2004 line is loaded with new innovations."
David Uri, a Partner at Pegasus explained its bid for Cannondale. "Cannondale is one of the world's premium bicycle brands," said Uri. "The fact that the bike division has remained profitable despite the distraction and costs of its now closed motorsports business clearly demonstrates the strength of the brand. Our job now is to let Cannondale concentrate on what Cannondale does best -- designing, manufacturing and marketing lightweight, high-performance bicycles for the specialty retail market."
Jeffrey R. Manning of Legg Mason Wood Walker, Inc, the Baltimore, Maryland-based financial firm that assisted Cannondale in the sale process, stated that there was a great deal of interest in the Company, despite the uncertain economy and events in the Middle East. "Cannondale is an internationally recognized brand, the bike business is profitable, and has always been profitable," Manning added. "With the ability to focus exclusively on its bike business, the Company should do very well as it emerges from bankruptcy."
The auction marks Cannondale's continued rapid progression through the chapter 11 process. Earlier this month workers returned to the Company's Bedford, Pennsylvania bike factory to resume production of bicycles and cycling accessories, ending a temporary work furlough. It is expected that Cannondale will officially emerge from chapter 11 within the next several weeks, following the Court's anticipated approval of yesterday's auction and the subsequent closing of the sale. Elizabeth Fox of Fox Racing Shox, Chairperson of the Official Committee of Unsecured Creditors, stated that in connection with the auction process, the Committee reached a favorable agreement with Pegasus and fully supports the sale to Pegasus. Fox commented that she hoped this agreement would pave the way for the continuation of the supportive relationship between Cannondale and its vendors.
Cannondale is the world's leading manufacturer of innovative, high-performance, lightweight aluminum bicycles, successfully marketing its bicycles and cycling accessories in more than 70 countries worldwide.
Pegasus Capital Advisors, L.P., based in Greenwich, Connecticut, is a private equity investment firm with approximately $800 million under management.
ABOUT LEGG MASON WOOD WALKER, INCORPORATED.
Legg Mason Wood Walker, Incorporated is a wholly-owned subsidiary of Legg Mason, Inc. (NYSE: LM, news), a Baltimore, Maryland-based holding company that provides asset management, securities brokerage, investment banking, and related financial services through its subsidiaries.
SOURCE Cannondale
CONTACT: Tom Armstrong of Cannondale, +1-203-749-7174
