700 Monaco Coach shareholders are likely stuck holding an empty bag of shares of stock after the company terminated them and filed for bankruptcy in March. Everyone agrees the stock has become virtually worthless.



When there's a bankruptcy, shareholders often don't get anything because there is not enough money to pay the bills, let alone return anything to the shareholders, bankruptcy experts generally agree.



In its bankuptcy papers, Monaco said that as of Sept. 27 it had more assets than liabilities — $442.1 million in assets and $208.8 million in debt. However the company has not yet provided a complete, current list of assets and debts that explains how it arrived at those numbers.



For now, Illinois-based Navistar International Corp. is reported to have signed a "nonbinding letter of intent" to buy Monaco’s core RV assets for up to $50 million, if the sale is approved by the bankruptcy court. If so, it could be completed by late June, according to documents Monaco filed with the U.S. Bankruptcy Court.



There's still no word on warranty rights under the proposed sale, but you can bet that the big corporations aren't about to let those survive the bankruptcy filing in all probability because of the high risk and expense that would be carried over. Maybe, but maybe not.

An unnamed suitor has offered $50 million for substantially all the assets of Monaco Coach Corp., according to a story on the AP newswire. That could be good news for Monaco owners, many of whom have been left stranded with no warranty protection since the company filed a Chapter 11 bankruptcy March 5, 2009.

Monaco stil has to get approval for the deal from its primary financiers, Bank of America and Ableco Finance, but if it happens then the Oregon based Rv maker could be back in business in the not too distant future.

Rv sales have plummetted in the last year as financing dried up and consumers found themselves in a down economy and lay-offs mounting up. The uncertainty of it all had a hard impact on the motorhome industry. After all, it's hard to justify a home on wheels when so many homes around you are being foreclosed on.

In January alone, Rv sales plunged more than 70 percent, as Fleetwood preceded Monaco into bankruptcy and both were on the heels of other Rv makers' trek to the bankruptcy court.

If you've got a Monaco coach, cross your fingers. Maybe things are beginning to look up.

Burdge Law Office
www.RvLemonLaw.com
Because life's too short to put up with a bad Rv.

On March 5, 2009 Monaco Coach Company filed a chapter 11 bankruptcy in its home state of Delaware.

The entities that appear to be covered by the bankruptcy look like Signature Motorcoach Resorts, Inc., MCC Acquisition Corp.: Signature Resorts, Naples Motorcoach Resort, Inc., Outdoor Resorts of Naples, Inc., Port of the Isles Motorcoach Resort, Inc., Outdoor Resorts of Las Vegas, Inc., Signature Resorts of Las Vegas, Outdoor Resorts Motorcoach Country Club, Inc., Signature Resorts Motorcoach Country Club, Signature Resorts of Michigan, Inc., Signature Motorcoach Resort at Bay Harbor, La Quinta Motorcoach Resorts, Inc., R-Vision Holdings, LLC, R-Vision, Inc., R-Vision, Trail-Lite, R-Vision Motorized LLC, Bison Manufacturing, LLC, Bison Trailers, Bison Horse Trailers, Roadmaster LLC, Roadmaster Trailers.

Additional names listed for Monaco Coach Company include Holiday Rambler, Holiday Towables, Safari, Beaver, McKenzie Towables, McKenzie, Roadmaster Chassis, Nappanee Wood Products, Holiday Graphics, Salmon Acquisition, Inc., SMC Corp., Electronic Desgin and Assembly, INc., Safari Motor Coaches, Inc., Beaver Motor Coaches, Inc., Magnum Manufacturing, Inc., Royale Coach and Harney County Operations, Inc., among others.

The bankruptcy case and filings can be monitored at this website: http://omnimgt.com/Public/files/frmMainCase.aspx?cboclient=854

Having filed bankruptcy now, no creditor is allowed to file any lawsuits against the company and all its assets are under the ultimate control of the bankruptcy court although for now Monaco is a "debtor in possession" which means they are still running their business but under the protections given by the federal bankruptcy law.

If you own a vehicle manufactured by Monaco or one of its corporations or divisions involved in the bankruptcy, and are still covered by the new vehicle warranty and have defects, you should talk to an attorney before doing anything so you can be sure you understand your rights, remedies and obligations.