NAVIERAS PARENT, THE HOLT GROUP, FILES FOR BANKRUPTCY
The Holt Group Inc., the Gloucester City, N.J.-based container shipping, stevedoring, warehousing and trucking group, has filed for Chapter 11 protection under the U.S. Bankruptcy Code.
The group and 24 of its subsidiaries and affiliates, including NPR-Navieras, Holt Hauling and Warehousing System Inc., Holt Cargo Systems Inc. and San Juan International Terminals Inc., filed petitions in the District of Delaware. Chapter 11 allows a company to continue to operate its business while it seeks a settlement of its debts.
Holt said it has been working with a steering committee of creditors, representing two-thirds of $140-million of debt in 9.75-percent notes. Both parties have “reached a general agreement regarding a restructuring of the notes,” Holt said.
The Holt Group, controlled by the Holt family, said it wants to turn the unsecured debts into equity.
William J. Streich, chief financial officer, said he expects the group to emerge from the process of reorganization in the summer.
Holt also said it is in final discussions with its senior bank lenders for $72.5 million in financing, which would include up to $10 million in additional working capital.
The Holt family “will be contributing significant additional capital” to the group in connection with the restructuring, the company said.
The Holt Group has annual sales of more than $300 million. The bankruptcy filing was made on behalf of The Holt Group Inc. and its subsidiaries Holt Hauling and Warehousing System Inc., Holt Cargo Systems Inc., The Riverfront Development Corp., Murphy Marine Services Inc., Wilmington Stevedores Inc., San Juan International Terminals Inc., New-Port Stevedores Inc., Borinquen Maintenance Inc., NPR Holdings Corp., NPR Inc., NPR-Navieras Receivables Inc., NPR S.A. Inc., Emerald Equipment Leasing Inc., CRT Inc., Dockside International Fish Co. Inc., Oregon Avenue Enterprises Inc., 777 Pattison Avenue Inc., Pattison Avenue Warehouse Corp., Refrigerated Distribution Center Inc., BH Sobelman & Co., Refrigerated Enterprises Inc., Triple Seven Ice Inc., Broadway Equipment Leasing Corp., and Dockside Refrigerated Warehouse Inc.