Court Approves Sale of Trainor Glass Assets in Fla., N.C., Va., and Texas to Harmon; Resolves Objection to Sale
May 31, 2012

by Penny Stacey,

The U.S. Bankruptcy Court for the Northern District of Illinois has approved the sale of substantially all of Trainor Glass' assets in Florida, North Carolina, Virginia and Texas to Harmon Inc. for approximately $3 million. Trainor had motioned for authorization of the sale in mid-May.

The sale includes all machinery, equipment, tools and supplies, "and other tangible property," according to the asset purchase agreement filed with the court. The agreement catalogs a list of equipment and machinery included with the asset sale.

However, the sale excludes any asset not specifically identified as a purchased asset, according to the agreement, including "any cash, accounts inventory, goods, vehicles, boats, video conference equipment, computer equipment, office furniture, office equipment, and modular wall assets located in Farmers Branch, Texas, and all assets located in New Buffalo, Mich."

The court had received one objection to the sale from Daniel Budorick of Pecker & Abramson, representing New York-based general contractor Skanska USA Building Inc., which had subcontracted several projects to Trainor in the south. These included the James B. Hunt Jr. Library at North Carolina State University, the Nemours Children's Hospital in Orlando, Fla., and the Keohane Quadrangle at Duke University in Durham, N.C.

The company had requested permission from the court to hire substitute contractors to complete the work, and this request was accepted, but, upon the filing of the motion for authorization of the sale to Harmon, Skanska also requested that the court enter an order "excluding certain assets from the sale order, specifically all equipment and tools of [Trainor] that were left at any of the Skanska projects."

In addition, Budorick requested Trainor provide a list of all the equipment and tools left at the Skanska projects, and that the company be permitted to use the equipment and tools until completion of the projects, and then return to Harmon upon completion.

"The substitute contractors and/or Skanska will have to use the equipment and tools that may have been left on the Skanska projects by the debtor," writes Budorick.

According to the order from the court approving the sale to Harmon, the Skanska matter was resolved, permitting the company to continue to use the equipment and tools, and that the companies will work out "an agreeable procedure for return of any such equipment and tools" at the completion of the named projects.

This story is an original story by USGlass magazine/USGNN™. Subscribe to USGlass magazine.
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