The Song’s Been Silenced
A federal bankruptcy judge has finally approved the sale of California-based Tower Records to Great American Group, which plans to liquidate the music retailer. This indeed is the end of a tower of music. According to attorneys, there were almost 30 hours of vigorous bidding. At the end of this, Great American won with a bid of $134.3 million, beating Trans World Entertainment. Trans World had hoped to continue operating at least some Tower stores, by a single bid increment of $500,000.
The company will be sold for an aggregate of $150 million. This inculdes the sale of various leases and properties. Great American plans to begin the liquidation process and going out of business sales immediately. This means around 3,000 Tower employees are going to find themselves jobless pretty soon. Registerguard.com reports:
”This is not an easy decision,” said bankruptcy Judge Brendan Shannon, who nevertheless noted that the Tower debtors and other parties had agreed the bidding process was conducted fairly and in good faith.
Read more: Tower Records bankruptcy includes sale
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