Letter to Champion Homeowners
December 4, 2009
Dear Champion Homeowners,
As you may know, on November 15, 2009 Champion Enterprises, Inc. filed for relief under Chapter 11 of the U.S. Bankruptcy Code to improve its capital structure and further strengthen its competitive position.
The Chapter 11 process provides us with the most timely and orderly means to restructure our debt obligations so we can be best positioned to capitalize on opportunities as they arise in the future. We expect to complete our recapitalization, emerging from Chapter 11 in less than five months in an even stronger competitive position.
It is important that you know that during the Chapter 11 process it will be business as usual. Champion will continue to:
- Professionally design, engineer and manufacture its products using skilled craftsmen in controlled factory environments to meet appropriate national, state and local building codes
- Maintain its rigorous quality standards by using only high quality building materials and components
- Honor its customer warranties and service obligations
In addition, we have obtained a $40 million loan from certain of our current lenders that will be available to ensure that the Company maintains its ability to fulfill its obligations to customers, employees, trade partners and vendors during the proceedings.
Many other well known companies, including General Motors, Kmart, and U-Haul have successfully restructured under Chapter 11. If you have any questions regarding Champion’s restructuring process, please call our restructuring information line at (877) 857-7554 or (248) 614-8390 if you are calling from outside the United States.
For more than 55 years, we’ve established our reputation on building affordable, quality manufactured and modular homes. We look forward to helping you find the right factory-built home for your housing needs. To learn more about our homes please visit www.championhomes.com.
Sincerely,
William C. Griffiths
Chairman, President and Chief Executive Officer
Champion Enterprises, Inc.