Parent company Furniture Brands International has closed Action Transport, the trucking subsidiary of Lane Furniture.
The outcome for the new owner of Furniture Brands International could come sooner than expected. The auction will now be held Nov. 21 instead of Dec. 10, which was the initial date set.
A U.S. Bankruptcy Court judge brushed aside objections Friday to paying bonuses to seven Furniture Brands International executives but capped the total possible payments at $3.5 million.
Furniture Brands International is facing a class-action lawsuit from investors who accuse the company and its management of deliberately misleading them about its financial status prior to entering Chapter 11 bankruptcy protection last month.
Oaktree Capital has been edged out as the lead bidder in the bankruptcy auction of Furniture Brands International's assets by KPS Capital Partners who put in a $280 million offer.
Lighting and furniture vendor Guildmaster has emerged from Chapter 11 bankruptcy as a private company.
Calling it an "administrative expense" unauthorized by bankruptcy code, a U.S. Bankruptcy Court trustee has objected to a $6 million break up fee that Furniture Brands wants to pay a private equity group in its Chapter 11 case.