Three more companies recently agreed to return some of the money paid to them by the Trainor Glass Co. in the 90 days prior to its Chapter 11 bankruptcy petition in 2012, pushing the total recovered roughly within the last month alone by the Official Committee of Unsecured Creditors to nearly a half million dollars.
NPW Contracting Inc., Architectural Systems Inc. and Kawneer Co. Inc. reached a deal on December 20 to return nearly $265,000 collectively, according to records filed with the U.S. Bankruptcy Court for the Northern District of Illinois. Just two weeks earlier, Mestek Inc., Trulite Glass & Aluminum and Connelly Crane Rental Corp. reached similar deals for a total of $178,000 in December, according to court records.
The latest arrangements come on the heels of the $75,000 collectively recovered in late November from Firestone Building Products Co. LLC and Facility Construction Services Inc.
Per the terms of the settlements, the companies returning the money are released from any future liabilities, according to court documents.
Neither Aaron Hammer nor Gregory Apostolides the Chicago-based attorneys representing the committee of unsecured creditors and Trainor Glass, respectively, could be reached for comment.
Court records, however, show that Architectural Systems Inc. will repay the largest individual sum of $250,000 to avoid any further legal action. The sum, which will be payable by three installments, is considerably less than the more than $813,000 the committee had originally sought, court records show.
NPW Contracting Inc., of Denver has agreed return $8,500, while Kawneer Co. Inc. will reimburse Trainor Glass to the tune of $6,250, according to court documents. Creditors had hoped to recover nearly $150,000 from Kawneer.
Similar arrangements had previously been reached in October with Applied Research Associates, Inc. of Albuquerque, N.M., Architectural Metal Fabricators Inc. of Atlanta, Coyote Glass LLC of Phoenix, Algoma Hardwoods Inc. of Algoma, Wis., Lumicor Inc. of Renton, Wash., McGrory Glass Inc. of Paulsboro, N.J., and Los Angeles-based C.R. Laurence Co., according to court records.
Hammer alleged in court documents that each company that did business with Trainor Glass in the 90 days prior to its bankruptcy petition were liable for “avoidable transfers” during that period.
Trainor Glass, an Alsip, Ill.-based contract glazing company, originally filed for Chapter 11 bankruptcy on March 9, 2012, in the U.S. District Court for the Northern District of Illinois. The company, which had closed in late February, reported debts between $50 and $100 million in its voluntary petition that was signed by its president, Thomas Trainor. Its 20 largest unsecured claims total nearly $12 million, according to court records.
Among the largest creditors were United Architectural Metals of North Canton, Ohio, with a claim of $1.4 million; Viracon Inc. in Owatonna, Minn., with a claim of $1.1 million; EFCO in Monett, Mo., with a claim of $1.1 million; Architectural Systems Inc. in Monett, Mo., with a claim of $881,038; Oldcastle BuildingEnvelope® in Wright City, Mo., with a claim of $615,084.74; Design Engineering Consulting in Richardson, Texas, with a claim of $594,315.00; Insulating Solutions in McKinney, Texas, with a claim of $589,389.98; Kawneer Co. in Norcross, Ga., with a claim of $503,307.00; J.E. Berkowitz in Westville, N.J., with a claim of $498,906.38; Western Glass in Ogden, Utah, with a claim of $485,751.00; and Graham Architectural Products in York, Pa., with a claim of $350,920.00.