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SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d)
of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported)
July 17, 1996
AMERICAN WHITE CROSS, INC.
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(Exact name of registrant as specified in its charter)
Delaware 0-20240 06-1342417
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(State or other jurisdiction (Commission (I.R.S. Employer
of incorporation) File Number) Identification No.)
349 Lake Road
Dayville, Connecticut 06241
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(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code 860-774-8541
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Total number of sequentially numbered pages in this filing,
including exhibits hereto: 7.
Exhibit Index is on page 4.
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Item 3. Bankruptcy or Receivership.
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On July 17, 1996, American White Cross, Inc., a
Delaware corporation (the "AWC"), and its wholly owned
subsidiaries Weaver Manufacturing Corporation, a New Jersey
corporation ("Weaver"), and ACME/Chaston Puerto Rico, Inc., a
Delaware corporation ("ACME" and, together with AWC and Weaver,
the "Companies"), filed voluntary petitions to reorganize under
Chapter 11 of the United States Bankruptcy Code (Title 11,
United States Code) (the "Bankruptcy Code"). The petitions
were filed in the United States Bankruptcy Court for the
District of Delaware and were assigned jointly administered
case number 96-1109(PJW). The Companies are debtors-in-
possession under the Bankruptcy Code as of July 17, 1996.
A copy of a press release issued by AWC on July 17,
1996 is attached hereto as Exhibit 20 and is incorporated
herein by reference.
Item 7. Financial Statements and Exhibits.
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(c) Exhibits.
Exhibit No. Description
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20 Press release dated
July 17, 1996
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SIGNATURES
Pursuant to the requirements of the Securities
Exchange Act of 1934, the registrant has duly caused this
report to be signed on its behalf by the undersigned hereunto
duly authorized.
AMERICAN WHITE CROSS, INC.
Dated: July 17, 1996 By: /s/ Scott Vertrees
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Scott Vertrees
Vice Chairman
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EXHIBIT INDEX
Number Description Page
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20 Press release dated July 17, 1996 5
5
Exhibit 20
NEWS RELEASE
FOR: AMERICAN WHITE CROSS, INC.
CONTACT: Scott Vertrees
Vice Chairman
Thomas Rallo
Senior Vice President
(860) 779-4110
FOR IMMEDIATE RELEASE IR CONTACT: Melissa Garelick/Ross Felix
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PRESS: Leslie Feldman/Suzanne Miller
Morgen-Walke Associates
(212) 850-5600
AMERICAN WHITE CROSS, INC. TO REORGANIZE UNDER CHAPTER 11;
COMPANY OBTAINS DIP FINANCING
DAYVILLE, CT., July 17, 1996 -- American White Cross,
Inc. (Nasdaq:AWCI) today announced it has filed a petition for
voluntary reorganization under Chapter 11 of the Federal
Bankruptcy Code to allow the company time to implement a
financial restructuring program.
Simultaneous with the filing, the company announced
that Congress Financial Corp., the company's longtime lender,
has agreed to continue working with the company by providing
debtor-in-possession (DIP) financing. Upon court approval, the
funds may be used for ongoing working capital needs.
Management anticipates no interruptions in deliveries to
customers or payments to post-petition suppliers.
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The Chapter 11 filing will allow the company to
continue its daily operations as usual while it goes through a
financial restructuring.
American White Cross has an 84-year history of
manufacturing, marketing and distributing disposable medical
products. In recent months, a combination of factors has
contributed to an ongoing negative financial position. These
include the unprecedented increases in the cost of raw
materials and the costs associated with relocating into a new,
state-of-the-art manufacturing facility in Houston, Texas.
"The company has instituted a number of aggressive
operational initiatives to return the company to
profitability," said Howard Koenig, Chairman and Chief
Executive Officer. "They include introducing new products,
relocating from a 100-year-old plant to modern, cost-saving
facilities, negotiating raw material cost reductions and
cutting overhead spending."
Mr. Koenig continued, "These actions are moving the
company in the right direction. However, to allow sufficient
time to maximize benefits, and return American White Cross to
profitability, we have made the difficult but necessary
decision to seek the protection of Chapter 11."
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American White Cross, Inc. manufactures and markets a
wide variety of health and personal care products, including
adhesive bandages, first aid kits and cosmetic cotton products.
