MADISON, WI (WTAQ) - A judge in Madison has approved the sale of five American TV and Appliance stores in Wisconsin that recently closed amid some controversy.
Former owner Lenny Mattioli and a St. Louis company filed court actions. They were concerned that American's owners may have unduly profited from closing the chain the month and placing it in receivership.
However, Dane County Circuit Judge Rhonda Lanford ruled that the property sales were fair, reasonable, and in the best interests of both American's owners and creditors.
The Steinhafels' furniture chain of Pewaukee is buying three sites in Madison, Appleton, and Oak Creek for $12.75 million. Real estate investor John investor John Schlueter will buy former American stores in Brown Deer and Pewaukee for $7.25 million. And a lawyer who's handling the company's receivership -- Michael Polsky -- said a third buyer is looking at taking three other sites for $12 million.
Polsky said there's an excellent chance that American's creditors will get back the entire $55 million they're owed as a result of the sales. He also said many of the nearly 1,000 people who lost their jobs at American could be hired at the new Steinhafels' stores which are expected to open this fall.
(Story courtesy of Wheeler News Service)