Beall Corp. Inc. started bankruptcy reorganization proceedings yesterday in Portland, Ore.
Beall intends to use the reorganization to seek new partnerships and working capital investments.
The company says it has a near-record backlog of orders, but working capital constraints impaired its ability to complete orders on time. Beall intends to use the reorganization proceedings primarily to recapitalize the company to respond to high levels of demand for its tanks and trailers.
Beall says its major creditor is supportive of the company's restructuring and is working closely with the company to maximize value for all stakeholders. The creditor agrees to consensual use of cash collateral and is negotiating Debtor in Possession financing that will provide adequate liquidity for normal operations without any disruptions to its customers' orders and branch service centers.