October 1, 1993 |
The owners of the Nutri-System diet center franchise for Orange County are expanding and are also reopening some centers in the greater Los Angeles area that were closed in May. Parent company Nutri-System Inc., based in Blue Bell, Pa., shut down 283 company-owned diet centers across the nation after creditors pushed the company into involuntary bankruptcy proceedings. Last week, however, a U.S.
June 3, 1993 |
Distribution of packaged diet food to 857 franchises of bankrupt Nutri-System was guaranteed Wednesday in a settlement reported to a bankruptcy judge. Michael Heisley, a Chicago businessman who has been running the company, said he assured franchise owners who were experiencing difficulty replenishing supplies. "It means that Nutri-System customers will be able to get the food items they want," Heisley said after his lawyer reported the agreement to U.S. Bankruptcy Judge David Scholl.
May 13, 1993 |
A Chicago investment firm took over management of debt-ridden Nutri-System Inc. on Wednesday after a bankruptcy court judge dismissed a trustee appointed to run the weight-loss company. Heico Acquisitions, a firm that invests in troubled companies, will run Nutri-System Inc. for about a month while deciding whether to buy it, former trustee John T. Carroll said. The move resolves, at least for now, the financial chaos surrounding Blue Bell, Pa.-based Nutri-System.
May 11, 1993 |
The confusion surrounding Nutri-System Inc., the debt-ridden chain of weight-loss centers, deepened Monday when its pending sale to a Chicago investment firm ran into unexpected opposition. Nutri-System court-appointed trustee John T. Carroll said Monday that he intends to fight the sale to Chicago-based Heico Acquisitions because it doesn't cover the debt owed to unsecured creditors. Carroll said the unsecured creditors, a group which includes employees, are owed $8 million to $10 million.
May 8, 1993 |
A Chicago firm that invests in distressed companies agreed on Friday to buy debt-ridden Nutri-System Inc., bringing closer to resolution a financial crisis that forced the closing of 282 company-owned weight-loss centers last week. John Gough, an attorney for Nutri-System franchisees, identified the buyer as Heico Acquisitions. A representative of Heico could not be reached.
May 7, 1993 |
Time Running Out on Nutri-Systems Inc.: A U.S. Bankruptcy Court judge in Philadelphia said he would appoint a trustee to run the company unless Nutri-System's current owners came up with a buyer for the debt-ridden weight-loss company today. The company closed its 283 company-owned diet centers last week after banks seized its bank accounts and impounded food supplies. The company's 857 franchises have remained open, but resuming food shipments has been a concern.