Daw files for Chapt. 11

MARCH 12–SALT LAKE CITY, Utah–Daw Technologies, Inc., a controlled environment and cleanroom component designer and installer, has filed for protection under Chapter 11 of the U.S. Bankruptcy Code.

The company also announced that European subsidiary, Daw Technologies Ltd., will continue to operate normally outside of bankruptcy.

“While our European subsidiary has completed its turnaround and is moving forward in a highly positive manner, we believe that the Chapter 11 process will help to facilitate our US restructuring plan,” says Jim Collings, chief executive officer. “We have been making several strategic changes to the company over the past several months. At this stage, we feel that Chapter 11 offers the best way for us to continue to provide our US customers with industry-leading cleanroom products and construction services, while we address our existing debt, capital and cost structures.”

Under Chapter 11 protection, the company will be able to continue its normal business operations. Additionally, the company will be able to seek debtor-in-possession (DIP) financing not otherwise available.

“Over the next several months, Daw will work closely with current customers, creditors, unions, and other stakeholders as we formulate and begin execution of our reorganization plan,” Collings adds. “I believe we are putting together a compelling plan that will enable Daw Technologies to emerge from bankruptcy as a stronger, more streamlined company.”


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