Squadron Bankrupt

Don Stauffer

I think of big auto companies that disappeared- Packard, Studebaker, American Motors(Nash), Dusenberg.

 

 

And Pontiac and Oldsmobile.

I think of big auto companies that disappeared- Packard, Studebaker, American Motors(Nash), Dusenberg.

jimbot58

Auctioning off the bits and pieces...

It's amazing how at the end of it all a company is really nothing more than names on a document. Take away all the property and assets and *POOF*! it's gone.

I remember when I received a letter from the Backruptcy Courts of Missouri, concerning my former employer, Payless Cashways INC., stating that all possible assets had been realized, remaining court cases settled and the company records were to be destroyed. A company that at one time had about 415 locations across the U.S. was reduced to a pile of papers sitting in a warehouse somewhere and that was all that remained - and that was to be destroyed! Just like that, they ceasted to exist, with only a few references to be found on the internet that they even existed.

 

Your post made me stop and reflect back on the many stores, some giants in the industry that just went puff over time. One of those places was Jordan Marsh, a high end dept. store that I worked in right after graduating from high school. I secured a position as a shoe salesman earning 8% commission after meeting my quota. Not bad money for a 17 year old to be making in 1973.
It was a very well known name here in Florida from the 50s thru early 90s when they went belly up. 

Auctioning off the bits and pieces...

It's amazing how at the end of it all a company is really nothing more than names on a document. Take away all the property and assets and *POOF*! it's gone.

I remember when I received a letter from the Backruptcy Courts of Missouri, concerning my former employer, Payless Cashways INC., stating that all possible assets had been realized, remaining court cases settled and the company records were to be destroyed. A company that at one time had about 415 locations across the U.S. was reduced to a pile of papers sitting in a warehouse somewhere and that was all that remained - and that was to be destroyed! Just like that, they ceasted to exist, with only a few references to be found on the internet that they even existed.

My guess is the rights to the Squadron/Signal books.

I wonder what "Intellectual Property" they will be auctioning?

A buddy who lives in the neighborhood  reports that there is a container trailer parked at the warehouse loading dock door.   It was not there last week.  Gives credence to my assumption that the HB shipment was enroute when the plug was pulled

Just got it too... Funny thing they specifically mention Hobby Boss, huh? On the photo there is also a funny looking P-47 - not from Hobby Boss.

Overall it looks pretty sad... They literally sell everything there was.

Just got an email send under the FSM name announcing the MMD/Squadron Bankruptcy Auction.  $400K of 'cost inventory' Hobby Boss kits, Intellectual Property, Warehouse Equipment, Packing Equipment, Office Equipment, and Office Furniture.   

Perhaps the 400K of Hobby Boss kits were enroute when the doors closed?  No info on other stock.   

Inspection is 21-April, Bids 23-April, Removal 26-28 April.    Hmmm, I may drive across town on the 21st to see if there are any lots worth bidding on

Speaking of old Sears catalogs, remember the craftsman cottage home kits?  Now you can't buy a suite of kitchen appliances for what the whole house cost, delivered.

Rob Gronovius

 

 

jimbot58

I did love getting those catalogs every month and it never failed that I could find something on sale I wanted, That is, back before their decline.

I had saved a pile of those catalogs but eventually tossed them out. Now I wished I had saved them!

 

 

 

I saved all those annual catalogs from the years in the 80s and 90s that I got them. They are a great source of (semi useless) historical information on the kit. When it first appeared, how much it was, etc.

Every once I a while I see the one of the old monthly flyers that hadn't gotten tossed decades ago. The later ones that were full color, I know I have a pile of them on my desk in the basement.

 

I also tell posters we should never complain about kit prices,but it is cool to see those kit prices from the early 80's like the Tamiya armor,but really,everything has gone up

I remember browsing the old Sears Catalogs too,quite a perspective

jimbot58

I did love getting those catalogs every month and it never failed that I could find something on sale I wanted, That is, back before their decline.

I had saved a pile of those catalogs but eventually tossed them out. Now I wished I had saved them!

I saved all those annual catalogs from the years in the 80s and 90s that I got them. They are a great source of (semi useless) historical information on the kit. When it first appeared, how much it was, etc.

Every once I a while I see the one of the old monthly flyers that hadn't gotten tossed decades ago. The later ones that were full color, I know I have a pile of them on my desk in the basement.

CrashTestDummy

 

 

jimbot58

 

 

TheWaggishAmerican

So... lets say someone hypothetically (def not me) blew a hundred bucks on that 'big winter sale' they had, and your order never shipped... does anyone know who you'd go about getting that money back?

 

 

 

 

I worked for over 20 years at a company that went bankrupt and I know the only way to recover from that is through a claim with the courts. Then you go on a long list of creditors with "secured" debt holders vs. "unsecured" The only chance the average Joe has is very slim to recover anything. Banks and lawyers are at the top of the list for getting paid first.

I filed a claim for over $20 grand (severence, vacation, sick time and other lost beneifts) against my former employer and at the end of it got a check for just over $300 and letter telling me there there was no more - all assets had been sold and they were still in the hole for over 10 million.

This is all very sad as I was shopping at Squadron long before I even heard of Sprue Bros.

 

 

 

 

You got lucky, Jim!  I had a company I was working for go bankrupt out from under me, owing me ~$4000 in back wages.  I got nothing!  Had an oil company I was invested in fall over, and while I wasn't expecting anything from it, I did get entertainment reading all the proceedings documentation they sent me.  I probably got my investment back in the postage they spent mailing me all the pounds of documents over the years.  Yes, it lasted years.  As I figured, I got nothing.

Like you, I used Squadron when they were about the only mail-order place out there.  Long before the internet, when you'd get a catalog in the mail and order from that. 

Sad to see them go, but I was getting frustrateed seeing something in their catalog mailers only to go online to find it out of stock. 

 

I did love getting those catalogs every month and it never failed that I could find something on sale I wanted, That is, back before their decline.

I had saved a pile of those catalogs but eventually tossed them out. Now I wished I had saved them!

jimbot58

 

 

TheWaggishAmerican

So... lets say someone hypothetically (def not me) blew a hundred bucks on that 'big winter sale' they had, and your order never shipped... does anyone know who you'd go about getting that money back?

 

 

 

 

I worked for over 20 years at a company that went bankrupt and I know the only way to recover from that is through a claim with the courts. Then you go on a long list of creditors with "secured" debt holders vs. "unsecured" The only chance the average Joe has is very slim to recover anything. Banks and lawyers are at the top of the list for getting paid first.

I filed a claim for over $20 grand (severence, vacation, sick time and other lost beneifts) against my former employer and at the end of it got a check for just over $300 and letter telling me there there was no more - all assets had been sold and they were still in the hole for over 10 million.

This is all very sad as I was shopping at Squadron long before I even heard of Sprue Bros.

 

You got lucky, Jim!  I had a company I was working for go bankrupt out from under me, owing me ~$4000 in back wages.  I got nothing!  Had an oil company I was invested in fall over, and while I wasn't expecting anything from it, I did get entertainment reading all the proceedings documentation they sent me.  I probably got my investment back in the postage they spent mailing me all the pounds of documents over the years.  Yes, it lasted years.  As I figured, I got nothing.

Like you, I used Squadron when they were about the only mail-order place out there.  Long before the internet, when you'd get a catalog in the mail and order from that. 

Sad to see them go, but I was getting frustrateed seeing something in their catalog mailers only to go online to find it out of stock. 

It's such shame that companies like this have to go through  this at this time of crisis. I have ordered from them in the past. Places like this are dwindling, but I am glad to keep my LHS in business by ordering from them. I went through a bankruptcy when the company I was working for in the late 90's. Each day I wondered if my badge would work to let me in, and then at the end of each day I worried about whether the hammer would come down on my job. Fortunatly things worked out. I only hope that those employees have the same luck and that Squadron comes out of this stronger that before.

Currently on the bench:

Revell SR71 1/72

Academy B52H 1/144

TheWaggishAmerican

So... lets say someone hypothetically (def not me) blew a hundred bucks on that 'big winter sale' they had, and your order never shipped... does anyone know who you'd go about getting that money back?

 

I worked for over 20 years at a company that went bankrupt and I know the only way to recover from that is through a claim with the courts. Then you go on a long list of creditors with "secured" debt holders vs. "unsecured" The only chance the average Joe has is very slim to recover anything. Banks and lawyers are at the top of the list for getting paid first.

I filed a claim for over $20 grand (severence, vacation, sick time and other lost beneifts) against my former employer and at the end of it got a check for just over $300 and letter telling me there there was no more - all assets had been sold and they were still in the hole for over 10 million.

This is all very sad as I was shopping at Squadron long before I even heard of Sprue Bros.

GM has a point.  When my lady and her ex sent money to an outfit to get released from a timeshare, the outfit filed bankruptcy in short order.  We kept getting updates on court appearances, just getting approval for lawyer fees.  Looks like the settlement will get them out, but nothing back on what $ spent on the outfit that went under.  The lawyers got all of it and then some.

There are layers to it.

As soon as using a lawyer becomes necessary, it won't be worth it.

Squadron may have you listed on their filing, if so that will help a lot.

If you are on Facebook, try their page to see if there's any info.

i would write them a letter spelling out what they owe you, send it to their address and then keep your fingers crossed.

They might even reopen at some point.

Write a letter to the Court listed in the op here, with all the particulars and request to be a creditor.  

You can file a claim with whatever entity is appointed receiver for the bankruptcy.

Yeah...good luck with that! (If you paid with a credit card, there might be some sort of relief available that way. Contact you card's customer service.)

So... lets say someone hypothetically (def not me) blew a hundred bucks on that 'big winter sale' they had, and your order never shipped... does anyone know who you'd go about getting that money back?

scottrc

ff 

50:1 Liability to Assets?  WOW!  What did they owe on? they never had any inventory unless they bought tons of those blankets, toys, and coffee mugs they were peddling. 

 

OUCH! Im gonna guess bad investments, taking loans against the company? That is terrible that another old time business goes belly up.

That should be a good write off for the parent investment company.  
50:1 Liability to Assets?  WOW!  What did they owe on? they never had any inventory unless they bought tons of those blankets, toys, and coffee mugs they were peddling. 

If anyone has a deposit or pre-purchase outstanding, good toime to write them a letter for the record.

Bill