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View Full Version : Seagull Files for Chapter 11 Bankruptcy


Alan B
12-27-2009, 02:46 PM
http://www.courierpostonline.com/article/20091208/BUSINESS/912080317/Filing-seeks-to-lighten-Sea-Gull-debt

I'm sure they will come out of it stronger.

It's a reminder about staying lean until the storm passes. Conserve cash, stick with the basics.

INTEGRA Bespoke Lighting
12-28-2009, 01:39 AM
The Seagull name has been around a while. Not generally associated up "up-market" lines of lighting product. Their low cost alternatives to quality fixtures might be what ended up hurting them in the long run as the middle of the market has dropped into oblivion.

Most recently they had teamed up with Unique on a "cross marketing" (that is what Joey called it) arrangement that had Seagull selling Unique product under their banner, perhaps in an effort to bolster their brand's image and quality. Too little too late?

http://www.lawnsite.com/showthread.php?t=286770&highlight=seagull

INTEGRA Bespoke Lighting
12-28-2009, 02:51 AM
Ok, found this.... Not meaning to rub salt in any wounds here but it is just too funny not to post.

http://www.youtube.com/watch?v=eSSw8Wu2KjQ

Perhaps this had something to do with something? In a bad karma sort of way?

Lite4
12-28-2009, 07:30 AM
Wow James! Talk about a huge disconnect in their commercial. That has to be one of the hokiest and worst commercials ever. Not sure what they were selling; investments, timeshares or light fixtures?

indylights
12-28-2009, 08:02 AM
Watching that video might have been the worst 2:45 of my life. Who ever thought that was a good idea I hope is no longer making those decisions. And the tag info said they showed it at their national sales meeting. Who do they think that motivated? Embarrassing.

BrandonV
12-28-2009, 04:24 PM
that's hilarious.

seolatlanta
12-28-2009, 05:24 PM
I'm with Indylights because that is the worst thing I have ever seen.

The sad thing is you can tell the production quality is good , I am sure putting that crap together was very expensive . Basic marketing 101 says to make sure the customer knows what you are selling and make it as easy as possible for said customer.

I have no idea what they were selling or even talking about. I do know some old guy started the company and they got a cool shot of a statue with bird crap all over it.

I still hate for a company to have trouble and need to file bankruptcy. Innocent hard working employees and their families are affected .

Lite4
12-28-2009, 07:13 PM
I still hate for a company to have trouble and need to file bankruptcy. Innocent hard working employees and their families are affected .True, True.* I feel bad for them, I hope they can turn things around.

The Lighting Geek
12-28-2009, 09:30 PM
the production costs for that video were not cheap, it almost came across to me as a motivational video for the employees rather than a marketing video. I am afraid the serious fallout from this economy is just beginning. Many companies are just holding on with the hopes of a booming surge, and it never happened. I predict we will most likely see sporadic increases, nothing that will pay off debts like they apparently have.

indylights
12-28-2009, 10:05 PM
I think I've mentioned this before, but my brother is the sales manager for a major Midwestern distribution outlet (one fortunately for him on good financial footings), and he has a ton of contacts both on the distribution and manufacturing side. 2010 is going to be a bloodletting for a lot of manu's and distributors. Hydrologic has already declared Chapter 7 (for those that don't know, there's no coming back from that, that's liquidation). Now Seagull declaring Chapter 11. We all know about Nightscaping's tribulations. Judging from what he's telling me, unless things pick up significantly, expect 4-6 major distributors to go under and 2-4 lighting manufacturers to do likewise. And by the way, the commercial mortgage meltdown hasn't even started yet. When that kicks in, things will get real interesting. Keep using smart business and spending practices. Contractors are going to start racing to the top and bottom, because like James said, the middle is gone. Let's hope those of us who shoot for the top can maintain.

INTEGRA Bespoke Lighting
12-28-2009, 10:08 PM
It will be interesting to see if any of the other global/multi-national lighting companies come to their aid or swallow them up. Then again, this might not be the right time for a Genlyte Thomas or such to be bringing on more lines that essentially copy their current holdings.

Perhaps Nate will belly up and snatch them up? :)

I would imagine the likes of Progress, Kichler and Juno might be breathing a bit easier if Seagull doesnt pull through.

Alan B
12-29-2009, 09:21 AM
Keep in mind, the BK is less a story about Sea Gull and more about the state of the lighting market (and the credit markets). For the large conglomerates, lighting showroom sales and the E.D. market are WAY down -- all the large lighting co's are hurting. For the specialty manu's (like high end landscape lighting), business is also way down.

I do not think you will be seeing much consolidation as credit markets are frozen and it is near impossible to raise capital to buy others, and if a co has cash, it knows it needs to preserve it since getting new LOC's is next to impossible.

Regarding specialty manu's (high end landscape lighting), they tend to be privately held and the owners are going thru their own personal cash reserves.

The story here is be frugal in 2010 and preserve your cash, take one step at a time, the econ has alot of de-leveraging left--this will go on for a few years.

irrig8r
12-29-2009, 04:20 PM
the production costs for that video were not cheap, it almost came across to me as a motivational video for the employees rather than a marketing video.

It was. It said so right there in the video description.

"This is the history of Sea Gull Lighting that was shown during its 2009 National Sales Meeting."

Still horrible though.

The Lighting Geek
01-02-2010, 07:44 PM
i missed that, need to clean my glasses..lol