Santa Inc. gets approval of early bankruptcy motions.
All this trashing about Mr. Kringle makes me a little annoyed. Calling him a phony behind his back isn't really what I think EBW bloggers are about. And in hard times like these, he always seemed to make things better.
When I picked up the paper this morning I was shocked to read about how bad it's getting, even for Mr. Kringle.
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Wall Street Journal
Dec. 13, 2008
NEW YORK- Judge Ebenezer Scrooge granted all of the Noth Pole-based company's first-day motions, including a request to use play money on liens to pay operating expenses. But he said he wants more details on the company's bankruptcy plan.
"I'm being asked to approve something, the alternative to which approval doesn't look good," said the judge, noting that the future of the holiday is at stake.
Scrooge also asked why the retailer waited until just two weeks before Christmas to seek bankruptcy protection.
Bob Cratchit, an attorney for Santa, said the company tried to find a way to plug a looming liquidity problem, but that the broad decline in children's belief in Santa had a "devastating" effect on the production line. Cratchit noted that between Oct. 5 and Dec. 8, elf unemployement rose nearly 20 percent.
"For Santa, Inc. to have that kind of decline at this time of year ... says a lot about what's going on," he said.
Filing for Chapter 11 protection rather than Chapter 7 liquidation will allow Santa CEO and Chairman Kris Kringle to retain control as he sells off company assets. No word about whether Santa, Inc. will sell it's North Pole location and move production to a more logistical location.
Santa, Inc. has been located at the North Pole since the late 19th Century.
"The best way to maintain the Christmas Spirit... is to move forward with this process," Cratchit said.
When questioned about the possibility of recieving a government bailout, Kringle laughed and his belly shook like a bowl full of jelly. As he flew off out of sight, he refused to comment but did say, "Merry Christmas to all and to all a good night."
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Well to Mr. Kringle's credit he has refused to ask for a bailout. Call him names, a fake and what not, but in my book, he's a hero. No matter what has ever happened in the world, or how bad it got, his presents always made their way under the trees and brought joy to kids all over the world, even if just for one day in the year.
I for one believe in him.