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

Global Business Travel Likely To Advance Despite Uncertainty

Many signs show the global economy is improving. Total spending worldwide approached $1.3 trillion in 2016.

Stronger Economy Means Higher Travel Pricing In 2018

GBTA Convention Coverage: Air, hotel, and ground transportation rise on back of inflation, higher oil prices, and emerging markets.

Business Travel Spurs $547 Billion In GDP, 7.4 Million Jobs

GBTA Convention Coverage: Much of the industry's economy heft accrues directly to sectors that serve travelers.

America's Top Business Travel Cities

Factors include number of on-time flights, cost of lodging, reliability of mobile network coverage, traffic congestion levels, and emergency-room performance.

Five Cities With The Most Traffic Congestion

Roadways clogged with autos, trucks, and buses are a fact of life in these major metro regions.

See More News

Facebook Comments ()

Comments (0)

Post a Comment



See More

LCT Store

LCT Magazine - July 2017 $12.95 COVER STORY: * Why These Titans Work So Hard to Give it Away * *
LCT Magazine - June/Fact Book 2017 $47.95 * Facts & Stats * Directors & Guides *


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