Owner of Weeks Roses Files Chapter 11

Jennifer Zurko

International Garden Products (IGP) announced on October 5 that the company and its four subsidiaries—Weeks Wholesale Roses, Iseli Nursery, California Nursery Supply and Old Skagit, Inc.—have filed Chapter 11 bankruptcy.

According to the filing, IGP’s finances have been negatively impacted during the last several months by the Chapter 11 filing of Jackson & Perkins in April 2010, which resulted in J&P failing to assure payment of its $1.7 million order for the 2010 season. This, along with three contingent liability issues totaling approximately $27.2 million and current market conditions, resulted in IGP’s filing. IGP stated in a press release that it has worked diligently over an extended period of time to resolve the liability issues, but has not been able to reach agreements with the parties.

On October 7, IGP received approval from the U.S. Bankruptcy Court for the District of Delaware for all of its First Day Motions, including a $7.5 million Debtor-in-Position financing from a group led by Harris Bank. IGP said it believes this will allow them to continue operations during their re-organization process, make wage and benefit payments, and offer commission payments to independent contractors.

IGP also emphasized that it does not anticipate an interruption in services and customers of both Weeks Roses and Iseli Nursery can continue to place orders for the spring 2011 season. 

Attempts to get a direct statement from IGP were made by GrowerTalks; however, calls to the company’s media contact were not returned. GT