MONSON, Maine (AP) -- An eleventh-hour Chapter 11 bankruptcy filing allowed Maine's Moosehead Furniture Co. to avoid an auction aimed at liquidating its assets.
The bankruptcy reorganization was announced minutes before Thursday's auction, leaving about 200 bidders from across the country frustrated. Chuck Lapinski from Tennessee told the Bangor Daily News that he had planned to buy the sawmill equipment. Instead, he had nothing to show for his $5,000 in expenses.
The former Moosehead Manufacturing Co. went out of business because of competition from low-priced imported furniture.
It stayed alive as Moosehead Furniture under new owners, but it closed again while the owners went looking for investors to stave off liquidation.