Industry Research

Country Coach Works to Resolve Bankruptcy with Wells Fargo

Posted on February 11, 2009 by LCT Staff - Also by this author - About the author

JUNCTION CITY, Ore. — Luxury motorcoach and RV manufacturer Country Coach LLC’s majority owner, acting as a creditor, has filed a petition to force the company into involuntary bankruptcy proceedings.

The action is intended to fend off Wells Fargo Bank, which sued last month to repossess and liquidate collateral pledged by Country Coach against a 2007 loan. That loan now has a balance of about $8 million and is in default.

Los Angeles investment banker Bryant Riley led a group of investors that bought Country Coach in 2007. He filed the petition for involuntary bankruptcy under Chapter 11 of the bankruptcy code. The factory has been shut down and 500 workers idled since December 2008.

Country Coach’s legal team is working to address Wells Fargo’s issues. Country Coach is allowing furloughed employees access to its facility to take possession of their personal property kept at the corporate facility.

“We continue to diligently pursue all alternatives with our lenders, equity holders, and outside investors to secure the financing or investment necessary to bring workers back, and to reopen our factories,” said Country Coach President & CEO Jay Howard.

“Allowing employees closely supervised access to only their personal items is a measure to minimize the risk to their valuable tools or other personal items because of the bank’s legal actions. In spite of many persistent economic challenges, we remain cautiously hopeful that we will re-open our doors before spring.”

Also referenced by Howard was the support of the office of U.S. Sen. Ron Wyden, D-Oregon, in pursuing a positive solution for Country Coach LLC’s 500 employees. “For more than four months, Sen. Wyden and his team have worked diligently to secure help for Country Coach and others in our Oregon-based industry.”

Located in Junction City, Oregon, Country Coach celebrates 36 years of designing, manufacturing, and marketing highline Class A diesel motorcoaches under brand names such as Tribute 260, Inspire 360, Allure 400 Series, Intrigue 530, Magna 630, Affinity 700 Series, Rhapsody 900, and the Country Coach Prevost XL Bus Conversion. The company also designs and makes the exclusive DynoMax chassis.

Sources: Country Coach and The Associated Press

View comments or post a comment on this story. (0 Comments)

More News

What The Traveling 1% Really Want From Tourism

They are looking for the same things — experiences and bragging rights — they just have the means to take it up a few notches.

How Major Names Are Disrupting Luxury Travel

Having the best hard product is a given. Now it's about experiences.

Luxury Travel Market Soars On Longer Vacations

According to a survey, 69% of luxury travelers take two-week vacations, while 25.5% take one-week vacations.

Millennial Business Travelers Want Better Mobile Moments

Corporate travel is being shaped by digital natives, which means companies must adapt to meet their unique habits, or be left behind.

Healthy Travel Jobs Growth During Trump's First 100 Days

With 15.8 million employees, leisure and hospitality was the top sector for U.S. jobs growth in April.

See More News

Facebook Comments ()

Comments (0)

Post a Comment



See More

LCT Store

LCT Magazine - May 2017 $12.95 Post International LCT Show Issue COVER STORY: * Best Operators of 2017: Their Winning Secrets Revealed * *


Experience the three annual industry events for networking for business, showcasing vehicles and products, and getting the tools for success.

Read About Your Region

What’s Happening Near You?
Click on any state to see the latest industry news and events in that region.

More From The World's Largest Fleet Publisher

Automotive Fleet

The Car and truck fleet and leasing management magazine

Business Fleet

managing 10-50 company vehicles

Fleet Financials

Executive vehicle management

Government Fleet

managing public sector vehicles & equipment


Work Truck Magazine

The number 1 resource for vocational truck fleets

Metro Magazine

Serving the bus and passenger rail industries for more than a century

Schoolbus Fleet

Serving school transportation professionals in the U.S. and Canada

Please sign in or register to .    Close