Dippin' Dots Files for Chapter 11 Bankruptcy

online.wsj.com

22 pointsavree3 comments

Bad management? They had a (growing) revenue of $27.7m (http://en.wikipedia.org/wiki/Dippin_Dots).

Meanwhile, their south-american counterpart is doing fine (and in need of a better design agency): http://www.delidrops.com/global_ing/global.html

According to the article, they hit liquidity trouble during the financial crisis which caused them to go into technical default. According to the article, they have $20.2 million in assets and $27.7 million in revenues but Regions Bank refused to negotiate on payment.

I wonder if this is just the last part of an attempt by Regions to use the default to seize the company at far below its market value.

Yeah, it's strange to hear of a bank refusing to renegotiate an amount like this. Maybe they are certain the company will go down either way.

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