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Bloomington-Normal, Illinois
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| MoneySunday, August 19, 2007 11:25 PM CDT |
Gold's Gym shapes up facility, finances
BLOOMINGTON -- As it works on the finishing touches of its renovation project, the company that owns Gold's Gym emerged from bankruptcy. Morine Inc.'s Chapter 11 case was dismissed and the company received a $5.6 million refinancing and new financing package with lender CEFCU on Thursday, said attorney Jonathan Backman, who represents John Morgan and David Horine of Morine Inc., the company that owns the workout facility at 11 Currency Drive, Bloomington. "It's a huge step forward in the rebirth of the gym that began back in January," Backman said Friday. Morine Inc. filed for bankruptcy in November and settled part of its debt in a court settlement in January with Larry Hundman of MMA III, LLC, which had taken over gym operations from Morine in November 2004 after a financial dispute. Typically Chapter 11 bankruptcies involve reorganizing debt and creating repayment plans. Morine Inc. resumed management of the gym at the time of the settlement last winter and began a $260,000 upgrade then, as well. Last month, Gold's Gym opened its new entrance and brought in new cardiovascular machines, Backman said. The gym also has received new bicycles and weights, new flooring, a paint job and an upgraded computer system this year, he said. Gold's Gym still hopes to buy another $100,000 to $200,000 worth of new equipment, Backman said. Plus, work remains to be done on a pool remodel. That work should start in September and be completed by early November, Backman said. |
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