Posted: Oct 2, 2012 12:40 PM by MTN News
Updated: Oct 2, 2012 12:42 PM
MISSOULA - Montana retailer Vann's may have been given a brief reprieve after a bankruptcy court judge in Missoula approved appointing a Chapter 11 trustee on Tuesday morning.
The move means the Missoula-based company won't have to immediately head into Chapter 7 bankruptcy and liquidation, and start closing their doors.
Word came Monday that there may be a buyer in Bozeman who's interested in purchasing the electronics and appliance chain, which started in Missoula back in 1961.
The interested party is mulling over a possible deal, but still has to finish reviewing some of the details of what may be involved in buying Vann's.
A judge granted more time during a Tuesday morning hearing for the parties to try and come up with an agreement. Tuesday's move means that Vann's can stay open for about another month while a deal is being pursued.
The company filed for bankruptcy in early August, with CEO Jerry McConnell saying in a letter to employees that they tried to keep the business running in hopes of reorganizing, but the continuing steep drop-off in sales eroded creditors' confidence, losing funding Vann's needed to continue the appliance and electronics store.
Vann's employs more than 150 people at stores across Montana, including in Billings, Bozeman, Kalispell and Hamilton, as well as at a warehouse in Hamilton.