Fortunoff Auction Postponed to Feb. 23
February 23, 2009,
A U.S. Bankruptcy Court judge postponed until this week an auction of "substantially all" the assets of home furnishings and jewelry retailer Fortunoff.
A hearing to approve the sale is scheduled the following day in the courthouse in lower Manhattan.
Following a dismal holiday selling season, Fortunoff filed for Chapter 11 bankruptcy protection on Feb. 5 and has moved quickly to liquidate its assets. A so-called "stalking horse" bidder has not been named in documents filed with the court.
The Bankruptcy Court earlier this month granted Fortunoff access to a $10 million loan from its chief lender, Wells Fargo. The $10 million is to go toward approved administrative expenses of the bankruptcy, as well as the payment of certain pre-petition liabilities.