DENVER, March 5, 2015 (GLOBE NEWSWIRE) -- Sport-Haley Holdings, Inc. (Pink Sheets:SPOR) (the "Company" or "SHH"), a diversified holding company, today announced that it has filed voluntary petitions for relief under Chapter 11 of the United States Bankruptcy Code today as part of its agreement with its secured lender. The filing, done in cooperation with the Company's primary lender, will allow the Denver, Colorado based Company to complete winddown of its Chromcraft Revington affiliate, reduce outstanding debt and maximize value for all stakeholders. The petition does not include or impact Sport-Haley Inc., an independently operated manufacturer of womens' specialty sportswear whose sole shareholder is Sport-Haley Holdings Inc.
"After extensive discussions with Chromcraft's primary lender, we have decided to take the necessary step to protect our ongoing operations, as we continue with the winddown of our Chromcraft Revington affiliate. The purpose of the filing is to gain bankruptcy court protection while we restructure our balance sheet. Throughout this process, we intend to continue business as usual," said Samuel Kidston, Chairman and CEO of Sport-Haley Holdings Inc.
Merchant Factors will provide a debtor-in-possession financing facility to enable normal operation of the Company's ongoing operations, including the normal course payments to employees.
About Sport-Haley Holdings, Inc.
Organized in 2011, Sport-Haley Holdings, Inc. is a diversified holding company focused on increasing shareholder value by maximizing intrinsic value per share over the medium- and long-term through the effective turnaround and management of its acquired companies.
About Chromcraft Revington
Headquartered in Mississippi, Chromcraft Revington® designs, manufactures and imports residential and commercial furniture marketed primarily in the U.S. The Company wholesales its residential furniture products under Chromcraft®, Cochrane®, Peters-Revington®, and CR Kids & Beyond® primary brands. It sells commercial furniture under the Chromcraft® brands. Chromcraft sources furniture from overseas suppliers, with domestic contract specialty facilities, and operates a U.S. manufacturing facility for its commercial furniture and motion based casual dining furniture in Mississippi.
This news release contains forward-looking statements, including but not limited to statements concerning the wind down of its Chromcraft Revington subsidiary operation; status of its primary loan; ability to meet customers, dealers creditors and other stakeholder obligations; ability to fulfill current and existing orders; timing of its exit from Chapter 11 bankruptcy and its other subsidiary operations. Our forward-looking statements are based on our current expectations and projections about trends affecting our businesses, industries and other future events. Although we do not make forward-looking statements unless we believe we have a reasonable basis for doing so, we cannot guarantee their accuracy. Forward-looking statements are subject to substantial risks and uncertainties that could cause our results, financial condition, results of operations or performance, to differ materially from our historical results or those expressed or implied in any forward-looking statement contained in this news release. Some of the risks and uncertainties that may cause actual results to differ from those expressed or implied in the forward-looking statements are described in "Risk Factors" in our filings with the Securities and Exchange Commission. In addition, actual results may differ as a result of additional risks and uncertainties of which we are currently unaware or which we do not currently view as material to our business. Investors are cautioned not to place undue reliance on any forward-looking statements. Forward-looking statements contained speak only as of the date on which they are made. We expressly disclaim any intent or obligation to update any forward-looking statements after the date hereof to conform such statements to actual results or to changes in our opinions or expectations. If we do update or correct any forward-looking statements, investors should not conclude that we will make additional updates or corrections.