SCBIZ Daily Staff

SUMMERVILLE – American LaFrance LLC announced it has emerged from bankruptcy after the company’s Plan of Reorganization was accepted by a judge on Friday.

The company had filed for Chapter 11 protection in January, after putting about 100 employees on furlough and accruing more than $100 million in debt, according to court documents. The furlough ended March 31st and a “majority” of the workers returned, according to a company release.

American LaFrance is coming out of bankruptcy with a $40 million line of credit and with nearly 90% of its creditors supporting its reorganization plan.

“This is just another milestone in the long history of this epic 175-year-old manufacturing company,” said Lynn Tilton, CEO of Patriarch Partners, the private equity firm that purchased American LaFrance in December 2005. “With many of its legacy difficulties now in its past, this great American legacy is prepared to move forward continuing its build of the best known truck brands in the industry. By having obtained an extension of $40 million of new credit in connection with its exit from bankruptcy, ALF is in a strong financial position to well service its customers.”

American LaFrance LLC, through its predecessor entities, is one of the oldest fire, rescue and EMS vehicle manufacturers in the United States, dating back to its founding in 1832. The company operates eight manufacturing/servicing facilities and two company-owned vehicle dealerships.