Canadian brewery owner trying to regain control

From the Toronto Star:

Frank D'Angelo, whose former juice and beer companies collapsed under more than $120 million in debt, is buying back the assets of one of them.

A judge has approved a deal whereby (an) Ontario company owned by D'Angelo's family will purchase D'Angelo Brands, which is currently shut down and under court protection from creditors. ... Meanwhile, the future of the other insolvent company, Steelback Breweries, remains uncertain. Court filings show management has temporarily ceased operations and is looking at options. ...

The two companies have acknowledged revenues didn't meet projections; advertising and marketing costs did not reflect sales; production was inefficient and expenses too high and a strong Canadian dollar slashed margins on packing agreements with U.S. customers.

Steelback, brewer of 11 brands, decided to close its small Tiverton brewery in central Ontario until the end of March because inventories can meet demand. It has cut more than 20 jobs there.

(The full story can be read here.)

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