INGATE

From The Sip Trunking Experts

TMCNet:  Surplus chain reopens doors: Sunny's is back from Chapter 11, this time with three stores, not 15

[November 09, 2007]

Surplus chain reopens doors: Sunny's is back from Chapter 11, this time with three stores, not 15

(Baltimore Sun, The (KRT) Via Thomson Dialog NewsEdge) Nov. 9--Outdoors and military surplus store Sunny's Surplus is back in business less than a year after declaring bankruptcy for the second time in a decade -- though on a much smaller scale.


The retailer has opened three stores in Annapolis, Westminster and Frederick. It had 15 stores in January when it sought Chapter 11 bankruptcy protection. It closed all of the stores at the time.

Michael Weinman, who was the majority stockholder of Sunny's parent company and a member of the founding family, created an entity called New Sunny's to buy the company's remaining assets after most of them were sold in going-out-of-business sales earlier this year.

Weinman paid $25,000 in September for what was left, which included equipment, trademarks, licenses and the Sunny's name, according to bankruptcy court records. The federal bankruptcy court in Baltimore approved the sale of the assets, according to the court records.

The company owed $1.1 million to its largest unsecured creditors when it filed for Chapter 11 protection.

The company thought vendors would be more likely to recoup losses from future sales from the new stores than they would if they remained closed, Sunny's said in a bankruptcy court filing.

The bankruptcy was the second time Sunny's had filed for reorganization in the last decade. It also filed for Chapter 11 in 2000 and emerged 13 months later.

Sunny's first opened in 1948 to take advantage of the surplus in military apparel and outdoor gear left over from World War II. The stores sell items such as military uniforms, camouflage clothing, combat boots, dog tags, equipment and tents. Stores also carry name-brand outdoor clothes, work-wear and camping supplies.

Many wonder if the company will be able to survive. It faces more competition from larger chains such as Sports Authority and Dick's Sporting Goods and discounters such as Wal-Mart Stores Inc. and Target.

"I would say the odds are against them," said Howard Davidowitz, chairman of Davidowitz & Associates, a retail investment banking firm and consultant in New York.

Sunny's has brought back Benjamin Gilbert, a former chief executive and president, to operate the three new stores.

Gilbert said there is still a niche for Sunny's to serve.

"Our products were never a problem," he said. "The overhead was the problem."

Gilbert said the company has reduced overhead costs by shutting down its manufacturing facility and having merchandise delivered directly to stores. It will also open smaller stores, with none being larger than 5,500 square feet.

He said Sunny's stores carry a larger selection of outdoors and military surplus than its competitors.

"They sell some," Gilbert said of Sunny's competitors. "But ours is one-stop shopping for all camping needs, all outdoors needs and all military surplus needs. We don't have any real direct competition."

Gilbert said the success of the three stores would determine how many more are built.

The retailer could open four or five stores in Maryland, Sunny's said in a filing with the bankruptcy court.

Brian Gibbons, president and CEO of Greenberg Gibbons Commercial, said he still believes there is a customer base for Sunny's. His company leased space to Sunny's for a store at its Westminster Crossing shopping development in Carroll County.

"The Sunny's Surplus name is an extremely well-known brand in the greater Baltimore region and, throughout its long history, has established a unique niche and a loyal customer following," Gibbons said in a statement.

To see more of The Baltimore Sun, or to subscribe to the newspaper, go to http://www.baltimoresun.com.

Copyright (c) 2007, The Baltimore Sun
Distributed by McClatchy-Tribune Information Services.
For reprints, email tmsreprints@permissionsgroup.com, call 800-374-7985 or 847-635-6550, send a fax to 847-635-6968, or write to The Permissions Group Inc., 1247 Milwaukee Ave., Suite 303, Glenview, IL 60025, USA.

[ Back To SIP Trunking Home's Homepage ]

Loading
Subscribe here for your FREE
SIP TRUNKING enewslettter.

Featured Partner


Featured Whitepapers

SIP Security for the Enterprise
Voice over IP (VoIP) is incorporated into a variety of computer networks, both public and private, and used for everyday transactions and communications among carriers, businesses, government agencies...

Making A Broadband Purchase Decision
Businesses today have many options for broadband connectivity. Clarifying your particular business needs prior to selecting a broadband provider will ensure an optimal match of broadband service to your requirements.

Voice-Optimized Network Delivers Premier Call Experience
Customers equate call quality with business quality. Real-time communication, interpersonal interaction, and the cordial tone of a call center representative can create a positive impression of your business that no email can match.

Featured Case Studies

Business Telecom Expenses Reduced 50%
A small to medium sized company in the midwest was interested in migrating to IP Communications, but in today's economy, they were hesitant to upgrade their communication system due to their perception that the cost would outweigh the benefits.

Multi-State Company Cuts Telecom Costs 50%
A multi-site, multi-state company with extensive monthly long distance fees and toll-free charges did not have adequate broadband for Broadvox SIP Trunking requirements, nor did they have a SIP enabled telephone system.

Discover Leisure Connects Remote Users to its IP-PBX
Discover Leisure is one of the largest resellers of caravans and motor homes in the UK. With 15 branch of?ces all over the country, the company spent a great deal of money every month just on internal phone calls.

Featured eBOOKS

Internet+: The Way Toward Global Unified Communication
Connecting the telephony of the enterprise PBX or Unified Communications (UC) system using SIP trunks instead of conventional telephone lines has been very successful in recent years.

What is SIP Trunking? Edition 2
SIP trunking is becoming more of a focus for service providers. One key issue many service providers face when deploying SIP trunks is NAT, or Network Address Translation, traversal.

What is SIP Trunking? Edition 1
A vast resource for information about all things SIP - including SIP, security, VoIP, SIP trunking and Unified Communications.

Featured Videos

Broadvox VAR Testimonial VAR 1:
Part 1 of the VAR (Value Added Reseller) Partner Program Testimonials for Broadvox...

E-SBCs AS The Demarcation Point:
Ingate's Steve Johnson talks to Erik Linask about the role session border controller plays as the demarcation point at...

Demystifying DPI
How can deep packet inspection protect your SIP traffic as well as your entire network?

Featured Resources

Partner Program Overview:
Over 4,000 VARs, Master Agents, Solution Providers, and Independent IT Professionals trust Broadvox. We offer customized services and solutions to fit seamlessly into any company's business model. And when you partner with Broadvox, every member of our team stands behind you and your customers 100%...

SIP Trunk UC Summit

What's New

Presenting the New Ingate/Intertex Website:
Internet+ is an extended Internet access allowing high quality SIP (Session Initiation Protocol) based real-time person-to-person communication, everywhere and for any application. It applies to both fixed and mobile networks ...

Featured Blogs

Featured Webinars

Secure SIP Trunking:
What You Need to Know

Successfully Deploying Enterprise SIP Trunking:
Tools and Techniques for Overcoming Common Roadblocks

Featured Podcasts

Getting the Most Out of Your SIP Trunks:
Ingate's Steve Johnson and TMC's Erik Linask discuss how best practices forgetting the most out of SIP Trunking services and common pitfalls to avoid.

Featured Datasheets

Ingate SIParator E-SBCs
Adopting SIP is a simple process with the Ingate SIParator, the secure enterprise session border controller (E-SBC). The SIParator makes secure SIP communications - including VoIP,SIP trunking and more - possible while working seamlessly with your existing network firewall.

Ingate Firewalls
Everyone is talking about enterprise usage of VoIP, instant messaging and other types of realtime communications including presence and conferencing.

SIP Trunk Solutions for Service Providers
The award-winning Ingate Firewall and Ingate SIParator deliver a high quality, reliable SIP trunk connection between the customer's IP-PBX and the service provider network, and solve interoperability issues to simplify deployments and support for remote diagnosis of reported issues.