AMF Bowling Worldwide Files Voluntary Chapter 11 Petition

[wchester]

I fear doom is at hand.

RICHMOND, Va., Jul 3, 2001 /PRNewswire via COMTEX/ -- AMF Bowling Worldwide and its U.S. subsidiaries today filed for reorganization under Chapter 11 of the U.S. Bankruptcy Code. The filings, in Richmond, Virginia, will enable AMF to maintain ordinary course operations while it finalizes and implements a reorganization plan to significantly reduce its long-term debt and interest expense.

AMF Conducting Business in the Ordinary Course

Roland Smith, AMF's President and Chief Executive Officer, noted that the court filing is not expected to have any significant impact on AMF's day-to-day operations: "We will continue welcoming customers at our bowling centers, and we will continue to make and sell our bowling products. While the refinancing will be an important step towards a more successful future, our primary focus will continue to be our customers and their satisfaction with our products and services."
All 518 of the company's bowling centers around the world remain open and will be conducting normal business operations. League play and all other activities at the bowling centers, such as corporate parties and special promotions, will continue as planned. All three of the company's manufacturing facilities are open and will operate on regular schedules

 

[Brenton Davy]

Well, what we have been expecting for some months has finally happened. I only hope AMF can restructure in such a way so as to trade its way back to solvency, because in this industry, if AMF sneezes, everyone else catches the cold. In other words, if AMF goes under, the rest of the industry is in deep s#@t.

I hear some saying "But the Australian operation is very profitable" It may well be in Australia, but given the poor exchange rate of the Australian dollar, that profitability is slashed dramatically, so in reality, no-one is safe