Group Parent Company Hobbico, Inc. files petition for Chapter 11 Relief in United States and pursues sale; Revell-Germany confirms no impact to vendors, suppliers and customers throughout process.
Over the last few weeks there have been a large number of discussions Online about the ownership of Revell Germany and the possible impact of their parent company Hobbico, filing for bankruptcy. Last night, Revell’s UK press officer sent over a press release from Revell Germany that sets out their position and allays any fears that the industry and hiobby modellers may have with regards to their future. The press release as delivered is as follows, laid out in full:
Revell-Germany announced that its parent company, Hobbico, Inc. (“Hobbico”) filed a petition for relief under Chapter 11 of the United States Bankruptcy Code while it seeks an orderly finalisation and implementation of its comprehensive restructuring plan. In conjunction, Hobbico also announced its plan to sell the company.
Because Hobbico’s bankruptcy filing was made in the United States and is strictly limited to the company’s U.S. operations, Revell-Germany is unaffected. Additionally, Revell-Germany suppliers, vendors and customers will not be impacted by the process.
“Our Revell-Germany operation is not filing for bankruptcy protection,” said Louis Brownstone, President of Hobbico, Inc. “It will continue to provide the same high-level of service to our customers. We are optimistic that the filing will better position the U.S. operations for future growth.”
“Most important for all of us at Revell-Germany, we continue to operate ‘business as usual’ moving forward,” said Stefan Krings, President of Revell-Germany. “Looking ahead, our top priorities remain continuing to build our business with our high-valued vendors and suppliers, while simultaneously providing the same high-level of product support to our customers.”
Although Revell-Germany is not part of the filing in the United States and will continue to operate its business, the sale of Hobbico could have future implications for Revell-Germany. The decision by Hobbico to file for bankruptcy and pursue a sale of the company allows Hobbico the opportunity to reduce their debts, restructure their liabilities, attract new capital investment and position the overall company for future growth.
From January 31 to February 04, 2018, Revell will be present at the Nuremberg Toy Fair presenting its new products for 2018. “We are convinced that we can continue the growth path of 2017 with our attractive range of novelties and welcome our international customers in Nuremberg,” says Krings.
Revell Germany is a global manufacturer and distributor of plastic model kits (market leader in Europe) as well as products in the remote-controlled models and toys segments in general. Revell GmbH has been part of the Hobbico Inc. Group in Champaign (USA) since 2012; Revell has its own branches in the UK and France. For more information, visit http://www.revell.de
About Hobbico, Inc.
Founded in 1985, Hobbico, Inc. is the largest U.S. distributor of radio-control and general hobby products. Hobbico is engaged in the design, manufacturing, marketing and distribution of thousands of hobby products including radio-control and general hobby products. The Company’s merchandise includes a wide variety of radio-control models from cars and boats to airplanes and drones. In the general hobby category, Hobbico offers plastic model kits, rockets, road race sets, die-cast models, model trains, jigsaw puzzles, science and educational kits, games, kites, craft kits and much more. Hobbico employs over 550 in facilities that include its West Coast distribution center in Reno, Nev., facilities in Penrose, Colo., and Elk Grove Village, Ill., Axial facilities in the United Kingdom and Germany, and its Corporate Headquarters in Champaign, Ill. The Company sells over 50,000 items through three sales divisions targeting Retail, Wholesale and Mass Market sales channels. For more information, visit www.hobbico.com.