HRP Myrtle Beach Holdings, LLC and affiliates, Operators of Theme Park, Seek Chapter 11 Protection
On September 24, 2008, HRP Myrtle Beach Holdings, LLC, HRP Myrtle Beach Operations, LLC, HRP Myrtle Beach Holdings Capital Corp., HRP Myrtle Beach Capital Corp. and We Got Your Back Security Co., LLC, HRP Myrtle Beach Management, LLC, and HRP Global Management, LLC filed for Chapter 11 protection in the United States Bankruptcy Court for the District of Delaware. Chief Judge Kevin J. Carey has been assigned to these cases. A copy of the petition filed by HRP Myrtle Beach Holdings, LLC is here.
Reasons cited by Mr. Goodwin for the filing include the collapse of the housing market, skyrocketing energy and gasoline prices and steadily increasing food costs which have resulted in a decline in discretionary spending by consumers. These factors resulted in lower-than-expected attendance levels at the Park in 2008 and left the debtors facing a liquidity crisis.
The Debtors’ expressed goal of the bankruptcy filings is the development of a business plan that will recast and streamline the Debtors’ capital and expense structures to position the Debtors to attract consumers’ discretionary funds. The Debtors hope to restructure their operations and emerge from chapter 11 prior to the start of the next tourist season in April 2009.
