Friday, June 26, 2009

Jewelry Business - The Bankruptcies Begin

A month of mayhem in the jewelry market.
First the bankruptcy of Michael Beaudry
Then two days ago Henry Dunay


Henry Dunay Designs files for Chapter 11
(June 24, '09, 8:31 Courtesy National Jeweler Network)
Henry Dunay Designs Inc. has filed for Chapter 11 bankruptcy protection, the second high-profile jewelry design company to do so in recent weeks.

In a voluntary petition form filed at the U.S. Bankruptcy Court of the Southern District of New York in Manhattan, the corporation estimated that it has between 100 and 199 creditors. Its assets total between $1 million and $10 million, and its liabilities total between $1 million and $10 million.

The paperwork was signed by the company's attorney and by its president, Henry Dunay, on June 18.

According to the company's Web site, Dunay launched his company in 1965 and has won more than 50 awards in his five decades in the jewelry industry. Robb Report magazine named Dunay "World's Best Jewelry Designer" in 2000 and 2001.

In addition to having his designs line the showcases of high-end stores such as Bergdorf Goodman, Dunay's clientele includes Tom Cruise, Oprah Winfrey and Secretary of State Hillary Clinton, among many others.
Earlier this month, Michael Beaudry Inc., based in Los Angeles and also known as a jeweler to the stars, filed for Chapter 11 bankruptcy protection.

Then yesterday David Webb

From Diamond World

David Webb Inc. files for Chapter 11
The company’s gross revenues were less than$5 million
By: Diamond World News Service

David Webb Inc. has filed for Chapter 11 bankruptcy protection at the U.S. Bankruptcy Court for the Southern District of New York in Manhattan. Its lowered sales have not been able to absorb the high operational costs, or pay off its debts and expenses, owing to the market slowdown. In the fiscal year that ended June 30, 2009, gross revenues from sales amounted to less than $5 million, as compared to gross revenues worth $13.25 million in the previous fiscal.

On June 18, a Board decision was taken to file for Chapter 11. The filing notes 50-99 creditors, assets valued between $10 million to $50 million, and liabilities worth $1 million to $10 million. The 61-year-old family-owned retail and manufacturing jewellery company has stores in Manhattan and Beverly Hills, Calif.

Now the question is

who's next

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WendyB said...

Not me, I hope! I thought of you for some reason when I read the David Webb news.

Jill said...

This is a shame...such venerable jewelers.

Belle de Ville said...

Yes Jill it is such a shame. Dunay did exquisite gold work and Webb...well Webb was just over the top wonderful.
Wendy B, I'm so glad to be on the wholesale side of the business and deal with estate jewelry. I get to work with the best pieces from Webb, VCA etc. and not have to put up with the manufacturing and keystone issues.
Seriously, I love my job.

gemfind said...

Really interesting .... thanks for the info and I love to read your blog which have complete information about jewelry and it inspire me a lot.

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