Ames creditors seek liquidation

Court asked to sell stores and stock
August 14 2002
Creditors of US retailer of Ames Department Stores have asked a New York bankruptcy court judge for permission to liquidate the company.

The creditors are asking for the inventory of all 327 stores, as well as Ames’ distribution centres, to be sold to meet its debts. As well as the sale of the stock, the petition calls for the disposal of all stores and other property.
Ames filed for voluntary reorganisation under the U.S. Bankruptcy Code last August, protecting it from sell off orders by creditors. The latest legal move seeks to remove that protection.
Ames was founded in 1958 by brothers Milton and Irving Gilman, with an offer of a broad products range at discount prices pitched at smaller towns in the North East USA.