Body Masters to exit Ch. 11 reorganization

Just 14 months after filing for Ch. 11 bankruptcy reorganization, Body Masters has indeed done what it said it would do -- exited the court's oversight with unanimous court and creditor approval.
Author:
Updated:
Original:

Just 14 months after filing for Ch. 11 bankruptcy reorganization, Body Masters has indeed done what it said it would do -- exited the court's oversight with unanimous court and creditor approval.

"We're excited. We're relieved, but we also know we have a responsibility going forward," President Ray Boudreaux told SNEWS®.

In a ruling by a federal judge March 7 in the U.S. Bankruptcy Court, Western District of Louisiana, Lafayette/Opelousas, the strength company based in Rayne, La., accepted the reorganization plan -- a month later than the Body Masters team had hoped for but without any major glitches. Formal paperwork should be issued by the court by mid-March.

"The work has just really begun," Boudreaux said. "When you emerge like this you also have to perform. Our plan going forward impressed the judge."

Its first appearance as a new, reorganized company will be at the IHRSA trade show, opening March 21 in Las Vegas, Nev. There, it plans to show more equipment than it has in the past and more additions to its Premiere premium strength line it originally introduced a year ago, said Boudreaux, who is an 18-year Body Masters veteran. Being a company that avoids splash and hype, Body Masters doesn't plan any celebrations or special signage.

"We're just showing people that we're fine," Boudreaux said. "We're a low-key company. We just want people to see us in our performance.

During the time under court-directed reorganization, which Boudreaux had told SNEWS® last fall "wasn't a lot of fun, but it was good for the company," Body Masters reorganized management, pushed ahead with equipment design changes, streamlined production, updated its technology, improved steel purchasing methods to reduce costs, and worked on improvements to sales, marketing and distribution. As it has been since it was founded in 1979, Body Masters (www.body-masters.com) will remain a privately held company as it moves forward.

Now, the company should be beyond what slowly got it to the Ch. 11 filing, as Boudreaux explained to SNEWS® in a Nov. 21, 2005, story, "Body Masters Ch. 11 reorganization surging strongly ahead" (click here to read). That included failing to modernize manufacturing processes and equipment designs, which although still functionally sound had become "stale," he had said.

"One of the many reasons for our success is our customers are pretty persistent," Boudreaux said. "People wanted to see us emerge."

SNEWS® View: This is an amazing good news story. The industry has seen way too many companies -- both manufacturers and retailers -- file for reorganization then move on to liquidate or be picked apart in a fire sale. Body Masters needed true roll-up-your-sleeves diligence to see this process to the end and emerge with improved and streamlined processes.

Related

Body Masters quietly files for Ch. 11 reorganization

With nary a whisper and little of the speculation that normally precedes bankruptcy filings and other major business changes, commercial strength equipment manufacturer Body Masters Sports Industries Inc. has filed for Ch. 11 bankruptcy reorganization in the U.S. Bankruptcy ...read more

Body Masters Ch. 11 reorganization surging strongly ahead

After just over 10 months under a Ch. 11 reorganization plan, Body Masters is speeding ahead under court oversight on its plan to reduce costs and upgrade production so it can emerge a strong and viable company. According to the court-filed reorganization plan, strength ...read more

Body Masters Ch. 11 hearings ongoing; company says business as usual

Despite ongoing courtroom and legal negotiations in Body Masters Ch. 11 reorganization bankruptcy, the company tells SNEWS® it is moving ahead with normal business plans, product sales, and equipment development and production. "Everything (is) where it has been," Brian Bille, ...read more

TKO files Ch. 11 bankruptcy reorganization

Rumors of financial instability have culminated for TKO Sports in a filing for Chapter 11 bankruptcy reorganization in a Texas court just days before the new federal laws on bankruptcy took effect. TKO Sports Group USA Ltd. quietly filed on Oct. 11 for the court protection plan ...read more

Joes-Sports_Logo.JPG

Did you hear?...Things not going so smoothly for Joe’s Ch. 11 reorganization case

Two suppliers of Joe’s Sports & Outdoor have filed demands to reclaim property in the retailer's Ch. 11 bankruptcy reorganization; meanwhile, the unsecured creditors committee has filed a motion with the court to force Joe’s into Ch. 7 liquidation. Seattle Bike Supply and ...read more

Malden Mills Files For Voluntary Ch. 11 Reorganization

Malden Mills filed yesterday for voluntary Chapter 11 reorganization in a Worcester, Mass. U.S. bankruptcy court. "I have to do it. I am going to do it," said company president and CEO Aaron Feuerstein to ABC cameras shortly after the filing. "I have to keep my eyes on the ...read more

Sportsmans_Warehouse09.jpg

Sportsman’s Warehouse enters Ch. 11 bankruptcy reorganization

Twelve days after announcing plans to liquidate 23 stores following a sale of 15 stores to UFA to satisfy the terms of a bridge loan, Sportsman’s Warehouse did what many insiders told SNEWS® was the most likely scenario – it filed for Ch. 11 bankruptcy protection. (Click here to ...read more

Fitness financials: Bankruptcy court OKs Bally's Ch. 11 reorganization plan, plus Dick's, GSI Commerce

Bankruptcy court OKs Bally's Ch. 11 reorganization plan On Sept. 17, Bally Total Fitness (Pink Sheets: BFTH) said the U.S. Bankruptcy Court for the Southern District of New York has entered an order confirming the company's amended prepackaged Chapter 11 plan of reorganization. ...read more

Omni/Busy Body Home parent FHI files Ch. 11 reorganization for entire group, plans sale of stores

In what must seem like déjà-vu for long-timers in the fitness industry, Fitness Holdings International filed for Chapter 11 bankruptcy reorganization Oct. 20 for its entire group of retail holdings, east and west, a little more than seven years after the Busy Body Home Fitness ...read more