NEW YORK: Pims New York and Pims Chicago, providers of printing, graphic design, and distribution services for PR and marketing companies, have filed for Chapter 11 bankruptcy protection. The company expects to continue operations.
EVP Marc Heft said the move would allow Pims to reorganize. He added that the company filed before the October 17 deadline, taking advantage of existing bankruptcy laws. The court filing cited the economy's downturn and its negative impact on marketing and PR budgets, emerging technologies that offer cheaper services, and a failed attempt to negotiate with its previous landlord.
Among the largest unpaid creditors cited in the filing are Xerox Capital Services, Reed Elsevier, and KPMG.
According to the filings, the liabilities for Pims New York and Chicago are almost $3 million and $1.1 million, respectively. Assets are $1.7 million for New York, $177,638 for Chicago.
Heft said Pims expects to emerge from bankruptcy by March 2006. "It won't affect our clients at all," he said. "Pims isn't going anywhere."
Pims also has a Washington, DC, operation.