Grimmett Bros., Inc., a Snyder based oilfield construction company established in 1944, has filed a voluntary petition for reorganization under Chapter 11 of the Federal Bankruptcy Laws.
The petition was filed Friday by Lubbock attorney Max R. Tarbox.
On Monday, papers were filed in the United States Bankruptcy Court in Lubbock for the company to pay employees compensation earned before the bankruptcy filing. The hearing was held today and details have not been posted on the court’s website.
Company President Billy Grimmett said a reorganization plan will go into effect Oct. 3.
“Until then, we’re doing what we can to get along. But in the long run, I think everything will turn out fine, we just need time to pay our bills,” he said. “We hope people will accept what we are trying to do and we certainly didn’t intend to hurt anyone.”
Grimmett said the reorganization will allow them to take care of vendors and set a clear path forward.
“We intend to pay everyone all we owe them and get back on the right track again,” Grimmett said. “We really think we will come out of this thing being a lot better company.”
Grimmett Bros.’ main office is in Snyder it has yards in Andrews and Sterling City.
“We told all our employees about this and we didn’t lose any,” Grimmett said. “They’re backing us 100 percent and we are backing them 100 percent.”
“We’re not here to beat anyone out of anything,” Grimmett said.
The bankruptcy petition lists five individuals who own directly or indirectly 10 percent of the corporation. They are Allen Grimmett, Billy Grimmett, Haily Grimmett-Tinkler, Ray Grimmett and Reese Grimmett.
A list of creditors with the largest unsecured claims include American Express; Arnold Oil Co., Austin; Billy Grimmett; Bruckner Truck Sales, Lubbock; Capital One; Caterpillar Access Account, Nashville, Tenn.; Caterpillar Financial, Nashville, Tenn.; Elda Jean Everett, Snyder; Equify, LLC, Fort Worth; IPFS Corporation, Kansas City; McCormick Marketing, Snyder; SBM Earthmoving and Construction, Texarkana; Southern Tire Mart, Memphis, Tenn.; TBC Parts, Amarillo; Texas Truck and Equipment Sales, Lubbock; TNT Drilling and Blasting, Noblesville, Ind.; Warren Cat, Dallas; and West Texas State Bank (two accounts), Snyder.
Image
Body