AMS Files for Bankruptcy

Publishers Weekly reports that Advanced Marketing Services, which owns distributor Publishers Group West, has filed for bankruptcy.

Advanced Marketing Services announced this morning that it has filed for Chapter 11 Bankruptcy in the U.S. Bankruptcy Court for the District of Delaware. The company said it took the action after its bank, Wells Fargo, refused to extend its loan agreement beyond December 28, depriving the company of operating funds. Up until this point, Wells Fargo has routinely extended the credit agreement though AMS has been in violation of certain lending covenants, which include the distributor’s inability to file updated financial information for fiscal year 2004 and beyond.

- Icarus Blog
- MangaBlog
- The Engine