Company Description:

• Bijoux Terner is an international operator / licensor of retail boutiques selling all merchandise at a $10 price point. Its stores are located primarily in airports and other destination locations.

Challenges Faced:

• The Company was suffering from a failed sales strategy to increase all merchandise to a $15 price point which caused a significant decline in overall revenue and a loss of a number of stores from the system. The Company was in covenant violation with its senior lenders after receiving five previous amendments to its credit agreement.

Solutions Provided by SOLIC Professionals:

• Provided a review and assessment of the Company including: cash flow and liquidity requirements, financial performance and forecast, competitive position, viability of the Company’s business plan, and debt transaction documents
• Provided an assessment of the Company’s restructuring alternatives (including valuation analysis, strategic alternatives determination, and capital structure modifications)
• Negotiated and executed a financial restructuring consisting of new equity money, a conversion of mezzanine debt and a senior credit facility providing the required financial relief to execute the Company’s strategic plan

Result Highlights:

• SOLIC professionals assisted the Company with identifying operational improvements including overhead cost savings and retail contract improvement, and negotiated an out of court financial restructuring.

Company Description:

• Alfred Angelo Bridal (“AA”) was one of the world’s largest manufacturers and retailers of wedding dresses. Headquartered in Delray Beach, Florida, the Company also designs bridesmaid dresses, fashions for the mother of the bride, flower girl dresses, and wedding accessories.

Challenges Faced:

• AA was a family-controlled business that had experienced significant management turnover and was facing growing challenges with both its retail distribution network as well as overseas suppliers. In addition, the Company had under invested in IT infrastructure and was experiencing significant disruption in managing its inventory. As a result, AA was in default of $40+ million loan.

Solutions Provided by SOLIC Professionals:

• A SOLIC professional was named as Chief Restructuring Officer, replacing the CEO, and serving as an independent Officer of AA. SOLIC professionals undertook a review of all Company contracts, leases, litigation, to identify legacy problems; facilitated the consolidation of the corporate operations to Florida; expedited a transition plan for the IT systems; and, oversaw completion of a long-term business forecast and facilitated the foreclosure by the lender.

Result Highlights:

• After facilitating an effective debt for equity exchange through a foreclosure process, SOLIC professionals were retained in an advisory position to continue to oversight the restructuring initiatives and turn-around plan that successfully stabilized the company, revamped its organizational design, consolidated its manufacturing operations, and renewed its growth trajectory.

Company Description:

• The Hartz Mountain Corporation manufactures, distributes and markets pet supply products in a multitude of distribution channels including toys, health and beauty and OTC health remedies with revenues of $350 million, senior debt of $90 million and sub-debt of $75 million.

Solutions Provided by SOLIC Professionals:

• Retained by the Company to review their short and long-term business plans and amend the existing credit agreement with the Company’s senior secured lenders

Result Highlights:

• SOLIC professionals’ recommendations were all ultimately approved by senior and subordinated creditors, and provided significant flexibility for the Company to implement its operational and strategic plans.

Company Description:

• Radica Games Limited (“Radica”), a leading $165 million revenue pure-play developer, manufacturer and distributor of classic electronic entertainment products, had experienced a 24.4% CAGR in sales over the three-year period prior to its sale. Radica’s strong growth was a result of new product innovation, consistent revenue from classic offerings and diversified distribution channels. Radica expected this growth to continue due to the extension of its highly profitable Cube World and 20Q games and anticipation over the Girl Tech division’s Digi Makeover product.

Challenges Faced:

• As a publicly-traded company, Radica’s Board of Directors was seeking to maximize shareholder value through a sale to a strategic buyer.

Solutions Provided by SOLIC Professionals:

• As the exclusive sell-side advisor, SOLIC professionals positioned Radica as a company that could stimulate the growth of a large player in an otherwise stagnant toy market. To illustrate Radica’s value to a potential buyer, SOLIC professionals emphasized the Company’s unique position within the market:
  • Radica’s core brands were aligned with the best performing category subsets in the market, specifically electronic games.
  • Electronic games had grown at a CAGR of 26% since 2003 (versus the rest of the industry with a CAGR of -0.7%).
  • Proved that Radica was able to capitalize on this growth by establishing themselves as a market leader in the relatively new “casual game” market, consisting of consumers who enjoy playing video games, but take them far less seriously than users of PlayStation, Xbox or Nintendo.

Result Highlights:

• Served as sell-side advisor in its sale to Mattel, Inc.
• $232 million all cash transaction, with purchase price multiples of 1.2x Revenue, 15.0x EBITDA, and 18.5x EBIT

Company Description:

• Tasco, Inc. was a $90 million manufacturer and distributor of consumer optical products with $30 million of senior debt and $15 million of sub-debt.

Solutions Provided by SOLIC Professionals:

• Engaged as exclusive advisor to the Company’s senior secured lenders to perform an initial review and assessment of the Company’s operations

Result Highlights:

• SOLIC professionals subsequently negotiated a capital restructuring which led to a sale of the Company’s assets to third party purchasers which resulted in significant recoveries for Tasco’s capital structure constituents.

Company Description:

• American Pad & Paper, LLC (“Ampad”) manufactures a complete line of writing pads, specialty papers, filing products and envelopes.

Challenges Faced:

• The Company faced declining profitability due to consolidation from customer in customer base

Solutions Provided by SOLIC Professionals:

• Initiated the purchase of Ampad’s business through a successful “higher and better offer” challenge to a recalcitrant management team’s sub-optimal Chapter 11 plan of reorganization

Result Highlights:

• SOLIC advised a group of investors on successfully structuring and executing a transaction to allow the company to exit bankruptcy.

Company Description:

• Nationwide Mattress and Furniture Warehouse is a multi-site furniture retailer of upholstery, bedding, case goods and other accessories. The Company attracts customers through event-driven advertising that positions the Company as a liquidator, warehouse spaces without built-out showrooms as retail outlets, and a “cash and carry” business practice which reduces the risk of uncollected receivables.

Solutions Provided by SOLIC Professionals:

• Served as financial advisor to the senior secured lender through a restructuring and subsequent recapitalization

Result Highlights:

• SOLIC professionals successfully orchestrated the sale of substantially all assets to an affiliate of Sun Capital Partners.

Company Description:

• ReView Video LLC was a global distributor and value-added service provider for a full suite of conferencing and collaborative communications products in the audio, video, web collaboration and VoIP markets in the U.S. and U.K. Alpine Investors, a leading growth oriented private equity firm, had invested in ReView Video and worked closely with management to execute a strategic plan that included expanded product and service capabilities and international growth.

Challenges Faced:

• The Company’s institutional investors were seeking liquidity from their investment in ReView Video.

Solutions Provided by SOLIC Professionals:

• SOLIC professionals acted as exclusive financial advisor to ReView Video and its shareholders, which included the control investor, Alpine Investors.
• In connection with marketing the Company to a diverse group of strategic and financial acquirers, SOLIC professionals:
  • Demonstrated the high growth potential of the VoIP sector of the Information Technology Supply Chain industry, and ReView Video’s ability to capitalize on that growth; and
  • Showcased ReView Video’s unique attribute as the last remaining independent, Polycom products distributor in the U.S., with meaningful market share.

Result Highlights:

• SOLIC professionals’ marketing process generated significant interest in ReView Video and resulted in Review Video being acquired by Westcon Group, Inc., a leading specialty distributor in networking, convergence, security, and mobility equipment, in an all cash transaction which met the needs of the selling shareholders. As a result of the transaction, Westcon is now one of the largest global distributors of Polycom equipment.