Shane Co. files for bankruptcy

The Times, Jan 15, 2009, Updated Oct 30, 2009

On Monday the Shane Co., a well-known jewelry chain, filed for Chapter 11 bankruptcy protection. The nation-wide jewelry company operates 23 stores in 14 states – one of them being in Tigard.

The bankruptcy has the potential of impacting 542 employees across the country.

As of Wednesday, the Company plans to continue operating the business without interruption, as management focuses on developing and executing a comprehensive restructuring plan, according to a press released distributed by the Shane Co.

A Tigard Shane Co. employee refused to comment on how the local business might be affected. A Shane Co. spokeswoman at the company’s national headquarters in Colorado refused to comment on how many people were employed at the Tigard store and whether there would be layoffs in the future.

According to a court filing, the company owes about $26 million to its 20 largest creditors. The filing was made in U.S. Bankruptcy Court in Denver, Colo. and documents list assets and debts between $100 million and $500 million.

“The severity of this past holiday season dramatically impacted existing liquidity, requiring the company to seek this bankruptcy protection,” said CEO Tom Shane, in the press release.

Denver attorney Caroline Fuller, of Fairfield and Woods PC, who represents Shane Co., said the company hoped to emerge from Chapter 11 by the end of the year.

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