Retail Store Fixtures Manufacturer

Company Overview

 

Retail Store Fixtures Manufacturer - The Company is a full-line manufacturer of wood and metal store fixtures primarily for Walgreens. The Company provides full-service fixture development including:  design, engineering, manufacturing, installation, project management, transportation, consolidation and warehousing.

Engagement Overview
•  Fort Dearborn was engaged to assess the Company’s short term liquidity needs and long term viability.

•  Fort Dearborn quickly prepared a short term cash flow forecast and determined that the Company was facing a serious liquidity crisis.

•  In response to the liquidity crisis, Fort Dearborn assisted management in identifying short term measures to improve liquidity, including the sale of non-core assets.

•  Fort Dearborn’s viability assessment indicated that the Company’s best strategic alternative was to pursue the sale of the Company.

•  Fort Dearborn advised the Board of Directors with respect to the sale process and identified key potential buyers.

• Working with management, Fort Dearborn prepared an operating plan to return the Company to profitability. Initiatives included: replacing plant management, reducing expenses, implementing  lean manufacturing and an outsourcing program.

•  Based on Fort Dearborn’s analyses and operating plan, the Company’s lender afforded the Company the liquidity and time to pursue the sale strategy.
Results
•  Fort Dearborn quickly assessed the Company’s strategic options and initiated the sale process by recommending that the Board of Directors approve the sale of the Company.

•  Fort Dearborn identified key action steps required to generate liquidity and return the Company to profitability while maintaining the Company’s banking relationship/funding through the sale process.