On March 6, Delano-based Hronis Inc., a renowned producer of citrus and table grapes, voluntarily filed for Chapter 11 bankruptcy protection.
The filing was submitted to the US Bankruptcy Court for the Eastern District of California, indicating the company holds between $50 million and $100 million in both assets and liabilities.
Hronis Inc. is seeking to have funds distributed to unsecured creditors during this restructuring process.
Allen Soong, the Chief Restructuring Officer at Paladin Management Group, which is consulting on the bankruptcy, stated that Hronis Inc. is in the process of developing detailed financial schedules and statements.
These documents are expected to be filed within the next few weeks, with the aim to close the bankruptcy process by midsummer.
- Hronis Inc. filed for Chapter 11 bankruptcy on March 6.
- The company has $50-$100 million in assets and liabilities.
- Restructuring aims to pay unsecured creditors and stabilize finances.
- Outstanding debts total approximately $3.4 million to various creditors.
- Management sees filing as a strategic move for future growth.
Court documents reveal that the company has multiple outstanding debts totaling up to $3.4 million to various creditors, including the California Table Grape Commission and Sunkist Growers.
Despite the challenges, Pete Hronis, the company’s Vice President, described the Chapter 11 filing as a strategic move intended to strengthen the company’s future.
Hronis emphasized that the company, which has been a staple in the California produce industry for 80 years, sees this as an opportunity to start afresh following setbacks from Hurricane Hillary in 2023.
He assured that operations will continue uninterrupted, with no changes in headcount, thanks to financial support from Conterra Agricultural Capital, LLC, their senior lender.
Hronis highlighted the overwhelming support from both the company’s staff and its customer base, noting their confidence in the company’s commitment to quality and reliable supply.
He stressed that Hronis Inc. is here to stay and plans to continue its operations for many more years.
The company, founded by Jim Hronis in 1945, is currently managed by Pete and his brother, Kosta, along with their children, ensuring a strong family-led leadership.
This restructuring is viewed as a pivotal step to safeguard the company’s legacy and position in the produce industry.
