March 17, 2007: Fedders Attains Bankruptcy Court Approval to Sell Its Residential HVAC Business
Fedders and its North American operations originally filed for reorganization under Chapter 11 of the U.S. Bankruptcy Code on Aug. 22, 2007. The company’s non-North American subsidiaries, which include operations in China, India, the Philippines, Germany, and the United Kingdom, were not included in the filing.
Fedders has been selling various operations to raise funds to pay its debts. In January, the company announced that it had sold the assets of its Fedders Islandaire Inc. subsidiary, a manufacturer of packaged terminal air conditioners, to Robert E. Hansen Jr., president of Islandaire. In February, the company announced that it had sold the assets and business of its Fedders Addison Company subsidiary, a manufacturer of commercial HVAC products, to Roberts-Gordon LLC.
Some creditors, however, believe that the company’s sales of these assets will not generate enough money to pay off all of its debts.
For more information about Fedders and the reorganization, visit www.fedders.com.
Publication date: 03/17/2008