IBJNews

Really Cool Foods plant on auction block

Back to TopCommentsE-mailPrintBookmark and Share

An organic food company that closed its eastern Indiana preparations center late last year is attempting to sell the 78,000-square-foot facility as part of a bankruptcy reorganization.

RCF Kitchens Indiana LLC, better known as Really Cool Foods, employed 131 people at the Cambridge City plant, far short of 1,000 workers the company said it planned to hire when it moved from New York to Indiana in 2008.

The Chapter 11 bankruptcy the company filed in Indianapolis on Wednesday lists assets of $1 million to $10 million and liabilities of $10 million to $50 million.

To help pay creditors, Really Cool Foods has identified a buyer that has offered to pay $13 million for its assets, which include the 78,000-square-foot facility the company built.

The interested purchaser is Sugar Creek Packing Co. of Washington Court House, Ohio, according to court documents. Founded in 1966, the company also has locations in Cincinnati, Dayton and Frontenac, Kan.

A Sugar Creek executive declined to comment on the company’s interest in the building.

As part of the bankruptcy, though, Really Cool Foods must allow bidding on the building through an auction to identify other potential buyers. Sugar Creek will receive a “breakup fee” if it is not the successful bidder.

Really Cool Foods hopes the sale will be complete by Oct. 20. The company is represented by Jeff Hokanson of the local office of Cincinnati-based Frost Brown Todd LLC.

“In order to avoid the loss of the buyer’s offer and to maximize the benefit to the debtor’s creditors and bankruptcy estate,” he said in the filing, “it is important that the debtor proceed with the sale process as quickly as possible.”

Really Cool Foods was founded in 2005, and three years later began manufacturing natural and organic food products, mainly pre-packaged, microwave-ready entrees and side dishes.

But sales failed to meet expectations, and the plant closed in November. The company began searching for a buyer last year after lenders were unwilling to provide additional financing to keep the business operating, according to court documents.

Really Cool Foods had planned to hire 1,000 workers and invest $100 million in operations in a five- to seven-year period. The company spent about $24 million to build its Wayne County plant.


 

ADVERTISEMENT

  • FYI
    FYI - On top of that,I think you will find Mr.RCF is an Obama supporter?
  • Really Cool, not
    Really Cools foods failed to hire, failed to market, and even failed to keep its production waste system functioning, throwing a cost burden on Cambridge City, which had to keep replacing system components because RCF plugged up the system. And to add insult to injury, Mr RCF "bought" the old Reid Hospital in Richmond, stripped it, and has now left it to rot as a teardown by the city. If there are any clawback provisons for what Richmond and Cambridge City gave the RCF carpetbaggers, I hope they can be exercised.

    Post a comment to this story

    COMMENTS POLICY
    We reserve the right to remove any post that we feel is obscene, profane, vulgar, racist, sexually explicit, abusive, or hateful.
     
    You are legally responsible for what you post and your anonymity is not guaranteed.
     
    Posts that insult, defame, threaten, harass or abuse other readers or people mentioned in IBJ editorial content are also subject to removal. Please respect the privacy of individuals and refrain from posting personal information.
     
    No solicitations, spamming or advertisements are allowed. Readers may post links to other informational websites that are relevant to the topic at hand, but please do not link to objectionable material.
     
    We may remove messages that are unrelated to the topic, encourage illegal activity, use all capital letters or are unreadable.
     

    Messages that are flagged by readers as objectionable will be reviewed and may or may not be removed. Please do not flag a post simply because you disagree with it.

    Sponsored by
    ADVERTISEMENT

    facebook - twitter on Facebook & Twitter

    Follow on TwitterFollow IBJ on Facebook:
    Follow on TwitterFollow IBJ's Tweets on these topics:
     
    Subscribe to IBJ
    1. The deductible is entirely paid by the POWER account. No one ever has to contribute more than $25/month into the POWER account and it is often less. The only cost not paid out of the POWER account is the ER copay ($8-25) for non-emergent use of the ER. And under HIP 2.0, if a member calls the toll-free, 24 hour nurse line, and the nurse tells them to go to the ER, the copay is waived. It's also waived if the member is admitted to the hospital. Honestly, although it is certainly not "free" - I think Indiana has created a decent plan for the currently uninsured. Also consider that if a member obtains preventive care, she can lower her monthly contribution for the next year. Non-profits may pay up to 75% of the contribution on behalf of the member, and the member's employer may pay up to 50% of the contribution.

    2. I wonder if the governor could multi-task and talk to CMS about helping Indiana get our state based exchange going so Hoosiers don't lose subsidy if the court decision holds. One option I've seen is for states to contract with healthcare.gov. Or maybe Indiana isn't really interested in healthcare insurance coverage for Hoosiers.

    3. So, how much did either of YOU contribute? HGH Thank you Mr. Ozdemir for your investments in this city and your contribution to the arts.

    4. So heres brilliant planning for you...build a $30 M sports complex with tax dollars, yet send all the hotel tax revenue to Carmel and Fishers. Westfield will unlikely never see a payback but the hotel "centers" of Carmel and Fishers will get rich. Lousy strategy Andy Cook!

    5. AlanB, this is how it works...A corporate welfare queen makes a tiny contribution to the arts and gets tons of positive media from outlets like the IBJ. In turn, they are more easily to get their 10s of millions of dollars of corporate welfare (ironically from the same people who are against welfare for humans).

    ADVERTISEMENT