The San Francisco Chronicle reports that Andronico’s CEO Bill Andronico has confirmed that the eight-store Northern California retailer is looking to “recapitalize” and "bring in lending/investor partners to replace the existing lender group and, additionally, provide growth capital."
The story comes a week after reports surfaced that some of Andronico’s vendors were not being paid, and had not been paid in months.
Andronico’s email to the paper says, in part:
"As with other small family companies, Andronico's continues to operate with many business challenges on a daily basis. The economic climate of the past several years has also contributed to these difficulties.
"Andronico's has been a closely-held, family business since it began in 1929 and we are dedicated as always to insure our commitments to our vendors, employees and communities are met.
"Andronico's looks forward to being a part of our community for another 80 years and more. We thank our vendor and staff network for their continued support."
The story comes a week after reports surfaced that some of Andronico’s vendors were not being paid, and had not been paid in months.
Andronico’s email to the paper says, in part:
"As with other small family companies, Andronico's continues to operate with many business challenges on a daily basis. The economic climate of the past several years has also contributed to these difficulties.
"Andronico's has been a closely-held, family business since it began in 1929 and we are dedicated as always to insure our commitments to our vendors, employees and communities are met.
"Andronico's looks forward to being a part of our community for another 80 years and more. We thank our vendor and staff network for their continued support."
- KC's View:
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Here’s hoping that Andronico’s is able to get through this rough patch. There have been rumors for some time that the company needed to resolve its financial situation, with speculation a few years emerging that the company was for sale.
The retailer - which I’ve always admired - managed to weather those crises, and I hope that someone out there will be able to provide the capital to help the company find a sustainable and profitable strategic position.
