TAMPA, Fla., July 1 /PRNewswire/ -- Tampa-based La Bonita Ole announced today that the company will launch a campaign to "Save The Tortillas." After 17 years of providing a growing line of tortillas to the eastern United States, La Bonita Ole may be facing a permanent shift in owner/management. With the present state of the company in danger, President and CEO Tammy Young decided to take matters into her own hands and launch a national effort to save her company.
La Bonita Ole filed a voluntary Chapter 11 bankruptcy petition on July 16, 2008, that allowed the company to restructure its debt obligations under the auspices of SunTrust Bank. Because of the current credit crisis and a one year growing pain impact, La Bonita Ole, like many other solid, growing companies, was left with insufficient funds to address its operating costs, after seventeen years of consecutive expansion. Filing for Chapter 11 enabled La Bonita Ole to continue to function, pay its bills and creditors, and become profitable and solvent again. The risk, however, was that control of the company could be shifted out of the hands of current management by SunTrust Bank whose current plan is to sell the company. If this happens, Young would be divested of her interests.
"We do believe, had we been in a normal banking environment, our company probably wouldn't be in the situation we are now," said Young. "We had growing pains that prompted us to borrow money for capital. Thankfully, SunTrust provided that need through a $1.0M loan. When the world financial crisis hit, SunTrust and all other banks evaluated their loan portfolios. SunTrust determined it would not continue its lending relationship with La Bonita Ole when the loans became due. Except for payoff of its matured loans, the company has made and continues to make every agreed upon payment since the first day of all of its loans with SunTrust."
Young hopes that the "Save The Tortillas" campaign can generate an overwhelming show of public support for the company and her cause before the date of final judgment in court which is August 19, 2009. Ideally, this public support would influence SunTrust Bank and the courts to allow the existing loans to remain in the SunTrust portfolio. The goal of the campaign is to make SunTrust Bank a hero in the banking industry for allowing La Bonita Ole to continue to thrive in their current state with Young at the helm and with its current employees.
The campaign is using social media channels - YouTube, Twitter, Facebook, Digg, Flickr and Brand Tampa - to spark and ignite a movement to "Save The Tortillas" by sharing the company story, raising awareness of the situation and inviting fans to show their support and spread the word to save the tortillas. The campaign also has its own web site which includes a complete timeline of the company's history, past and current financials, a petition as well as a list of ways the public can support La Bonita Ole. The web site is www.savethetortillas.com.
Connect with us:
www.youtube.com/savethetortillas
www.twitter.com/savethetortilla
www.facebook.com/pages/Save-The-Tortillas/106550617936?ref=s
http://www.flickr.com/people/39727020@N06/
About La Bonita Ole:
Founded in 1992, Tampa-based La Bonita Ole makes tortillas. Flour. Corn. Lo-carb. Whole wheat with omega 3 & calcium. 32 varieties in all. Both refrigerated - Tam-x-ico's and shelf-stable - Wrap-Itz versions. Founder, President and CEO Tammy Young started the company with $13,000 in savings and the belief that she could make the most fantastic tortillas outside Mexico. The journey to become the best tortilla maker in America has lasted 17 years. La Bonita Ole now supplies over 20 major food retailers in 28 states, does over $12 million in sales, and employs more than 40 people.
SOURCE La Bonita Ole, Inc.
