Bankruptcy Court Approves Sale of Certain Trainor Glass Assets in Denver
May 8, 2012

The U.S. Bankruptcy Court for the Northern District of Illinois has approved the sale of certain assets of Trainor Glass in Denver for approximately $52,000.

The company had leased a property at 5390 Pecos Street in Denver for a lease of approximately $10,000 per month, and, according to its motion, the company has not operated at the location since it closed all of its operations in February. For this reason, the company motioned to sell all of its remaining assets at the facility.

"[Trainor Glass] believes that the private sales are in the best interest of creditors since the purchase prices are fair and reasonable offer for the sale assets, and a sale of the remaining assets at the premises allows the debtor to immediately reject the lease, which will decrease the debtor's administrative liability under the lease," writes the company in its motion for permission to sell the assets.

The motion also details the affects of the sale on the company's creditors' claims. "There will be insufficient proceeds from the sale assets to satisfy the claims by the debtor's lenders," writes the company in its motion. "However, to the extent that the lenders have claims in and to the sale assets, those claims will be protected by the transfer of any and all liens to the proceeds of sale to the same extent and with the same validity and priority as existed prior to the petition date. The sale assets are being transferred free and clear of all liens, claims and encumbrances of any kind."

The sale includes a number of pieces of machinery ranging in price from $17,000 to $150, totaling $52,300. These are being purchased by several different purchasers, including Lockwood Industries Inc. of Aurora, Colo., Welch Equipment Co. Inc. of Denver, Conesco Storage Systems Inc. of Centennial, Colo., and Auto Glass Now of Evergreen, Colo.

Trainor Glass filed for Chapter 11 bankruptcy in March.

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