Track 'n Trail Owes $10 Million to Creditors

Source: The Sacramento Bee, CA.
EL DORADO, CA- Track 'n Trail owes more than $10 million to at least 1,000 creditors, according to court papers the firm recently filed seeking protection under the U.S. Bankruptcy Code. Company executives would not disclose such details earlier this week after the Chapter 11 petition was filed. Officials also did not return phone calls Wednesday regarding the company's financial troubles.
Track 'n Trail's estimated assets are between $10 million and $50 million, as are the retail chain's debts, court documents show. The company filed four cases under different names: Nevin's Eagles Nest; Overland Management Corp.; Track 'n Trail, a California corporation; and Track 'n Trail, a Delaware corporation. Those petitions have been consolidated into one case, a court administrator said earlier this week.
Portland, OR-based Airwair/Dr. Martens is listed as the largest unsecured creditor, owed $964,318.49, according to the Chapter 11 petition listing Track 'n Trail, a California corporation, as the debtor. Track 'n Trail also owes $895,179.22 to Novato-based Birkenstock USA, the domestic distributor for the German sandal maker, the filing shows.
An additional $737,931.50 is owed to Deckers Outdoor Corp. based in Goleta. Deckers' best-known brand names are Teva sport sandals, Simple shoes and Ugg fashion boots-all of which Track 'n Trail has carried.
"They have been a pretty big and good customer of ours for more than five years, but obviously we are upset about this as many of the other vendors are," said Deckers' CFO Scott Ash. "Track 'n Trail made some payments last year, but they haven't paid us for anything shipped in 2001."