Burlington Industries seeks bankruptcy protection to reorganize
Thursday, November 15th 2001, 12:00 am
By: News On 6
GREENSBORO, N.C. (AP) _ Burlington Industries Inc. filed for Chapter 11 bankruptcy protection Thursday, struggling with heavy debt, competition from cheap imported textiles and a slowdown in consumer spending.
The huge textile maker said it will reorganize to concentrate on its Lees Carpets business, expand global business through a Hong Kong subsidiary and accelerate manufacturing improvements in its North American operations.
The filing, which also included 24 Burlington subsidiaries, was made in the U.S. Bankruptcy Court in Wilmington, Del.
``This decision was not made lightly and we believe it is in the best interest of the long-term viability of the company,'' said George W. Henderson III, chairman and chief executive.
Henderson said the bankruptcy protection of the court would allow the company to speed up restructuring of its debt and operations ``and at the same time ensure that our daily operations continue uninterrupted.''
Burlington Industries is one of the world's largest manufacturers of textiles used for apparel and interior furnishings.