DALLAS, Jan. 15, 2021 /PRNewswire/ -- American Achievement Corporation®, (the "Company") the digital retailer and premier provider of school recognition products, announced today that an involuntary Chapter 11 petition was filed in the Bankruptcy Court for the Northern District of Texas Dallas Division by four of the Company's junior lenders against the Company and certain of its subsidiaries. The Company will promptly respond to the petition within the permitted 21 days.
"While we were surprised by the actions of the junior lenders, American Achievement Corporation is committed to working through this process," said Bob Myers, American Achievement Corporation's Chief Executive Officer. "Our valued employees, customers and partners can be assured that we will continue to operate. Employees, representatives and suppliers will be paid as normal and our customers can expect orders to be fulfilled as always."
COVID-19 has adversely affected the commencement, graduation, and yearbook business—as it has many industries. Despite this, the Company continues to be profitable, as it has successfully pivoted and adjusted to operating in the pandemic.
"Despite the challenging business environment, the Company is profitable and during the past year has grown its market share in its commencement-related businesses," Myers said. "The Company has the support of its senior lenders and sufficient liquidity to operate in the ordinary course of business and will continue to do so. We look forward to continuing to serve and support students."
"As we enter peak ordering and delivery season, it is important to remain focused on helping our schools celebrate the most meaningful moments in their students' lives, this year more than ever," Myers added.
About American Achievement
American Achievement Corporation is the world's largest Collegiate and High School commencement services company leading the industry in digital product innovation by helping students and their families celebrate life's most important achievements with a suite of digital commencement services & innovations. The School's personalized, customized products and services are available through digital technology, personal in-school deliveries and customized school assortments on Balfour.com, the destination for Graduation products.
Contact:
Jennifer E. Mercer
Paladin for American Achievement Corporation
jmercer@paladinmgmt.com
SOURCE American Achievement Corporation
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
