Advanced Technology Video inches towards reorganization
SEATTLE - Video products manufacturer Advanced Technology Video has received a court approved extension on its deadline to file its reorganization plans.
The extension gives the company until the end of March to detail how it will achieve and maintain financial stability after filing for Chapter 11 bankruptcy protection last summer.
Shelby Beard, president and chief executive officer of Advanced Video Technology, said a plan could come as soon as the end of January. He hopes to announce the plan has been approved by the court at the ISC West show at the end of March.
Ã¢â‚¬Å“Then basically weÃ¢â‚¬â„¢re a viable company moving forward,Ã¢â‚¬Â said Beard.
Since filing for bankruptcy protection the company has made several strides, including trimming its overhead costs by reducing its workforce and negotiating a new lease with its landlord that shaves $20,000 off the monthly bill.
Ã¢â‚¬Å“We have staffed at a number 20 to 30 percent less, so if there was a continued market reduction in video we would still maintain profitability,Ã¢â‚¬Â said Beard.
PlansÃ‚Â callÃ‚Â forÃ‚Â ATVÃ‚Â toÃ‚Â reduceÃ‚Â its outstanding loan balance to $2.7 million in March compared with a $3.7 million as of last June.
Other initiatives include the launching of a new line of digital video recorders called Falcon and plans to unveil a new line of multiplexers with more features but less expensive than its current models. The company also signed a contract to provide an OEM video board that is being installed in every Air Bus airplane. The overall system will allow pilots to view the passenger cabin.
ATV filed for Chapter 11 bankruptcy protection last year after a series of problems. It defaulted on a line of credit at the end of 2000, was unable to secure an additional line of equity due to a pending lawsuit between Beard and two former shareholders and saw its market share decline.