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8:03 am
November 17, 2017


Xiaoyeshi

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After a four-year battle with its biggest lender, Dippin’ Dots Inc. declared Chapter 11 bankruptcy protection on Thursday in U.S. Bankruptcy Court in Paducah, Ky., to prevent foreclosure.


The manufacturer from the quirky and colorful frozen treats beads, which are flash frozen using liquid nitrogen, owes $12 million, the bulk of it to some unit of Regions Financial Corp., which gone to live in confiscate the loan now.


The 170-worker company, which calls its frozen treat “ice cream of the future Wholesale NHL Jerseys ,” fell into technical default 4 years ago in the peak from the financial crisis, when customers were no more prepared to spend the few dollars it cost for a cup.


It’s about 140 Dippin’ Dots retail locations, that are mostly controlled by franchisees, and agreements with 9,952 small vendors who sell the frozen treats at fairs, festivals and sports games. It isn’t sold in supermarkets because of its extreme cooling requirements.


Its sales woes came at the tail end of an expensive legal battle-one the company ultimately lost-over whether founder Curt Jones properly filed the patents that protected its special freezing process.


“All of this hit us simultaneously,” said Steve Heisner, the company’s director of administration, customer service and knowledge systems.


dippin dots nutrition, Mr. Heisner asserted Dippin’ Dots offered Regions several proposals to pay for a portion of their loan, however the bank rejected the offers before posting a foreclosure notice on Tuesday. An agent for Regions Bank declined to comment.


The organization said its assets are valued at $20.Two million. It owns a 120 Wholesale NFL Jerseys ,000-square-foot plant in Kentucky that can produce more than 25,000 gallons of frozen dots a day.


Mr. Heisner said the company doesn’t be prepared to sell its operations, that are still mostly of Mr. Jones, a microbiologist who started the organization in 1988. The organization continues to be hailed as an achievement in entrepreneurship by celebrities such as Oprah Winfrey.


The company said hello sales are slowly recovering. By Thursday, it reported having $27.7 million in revenue, above last year’s $26.7 million.


Company executives sought court permission to invest some of the cash collateral that secures the Regions Bank loan to enable it to continue operations. A legal court set a Nov. 17 hearing on its request.


“Without use of the cash collateral…[the company] will not be able to pay for its vendors, and it is vendors will likely cease to supply products or services to the debtor on credit,” the business’s attorneys explained in the court documents.


According to the company’s proposed price range, it will need a minimum of $23,000 to cover liquid nitrogen alone through the end of the season. The. Cheap NBA Jerseys Cheap Jerseys Cheap NFL Jerseys Wholesale Jerseys China Wholesale Nike NFL Jerseys Wholesale Soccer Jerseys Free Shipping Cheap NFL Jerseys Cheap NFL Jerseys Wholesale NBA Jerseys Cheap Authentic NFL Jerseys

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