JLM Couture, Inc. Announces Financial Restructuring Plan to Streamline Operations and Protect Valued Assets

Rhea-AI Summary

JLM Couture plans to file for restructuring to safeguard assets and continue operations. The decision is motivated by external challenges, including actions of Hayley Paige Gutman and pressure from legacy creditors. The company expects to file for reorganization under Subchapter V of Chapter 11. Operations will continue as usual throughout the process. JLM Couture remains committed to delivering top-tier designs and hopes restructuring will fortify its position in the industry.

NEW YORK--(BUSINESS WIRE)-- JLM Couture, Inc. (OTC Markets: JLMC), an upscale, multi-label wedding gown design and manufacturing company, announced today that it plans to file for restructuring. This option, available to JLM Couture, is specifically designed for smaller businesses with limited debt, ensuring they can safeguard their assets and continue operations.

The primary motivators for this decision stems from external challenges including the actions of Hayley Paige Gutman and pressure from legacy creditors, including potential liability stemming from New York City landlord-tenant issues aggravated by the pandemic.

In light of these challenges, the decision to file for restructuring emerged as “the most strategic move to protect our valued operations and assets,” said a company spokesperson. The Company expects to voluntarily file for reorganization under Subchapter V of Chapter 11 of the United States Bankruptcy Code. Operations will continue as usual throughout the court-supervised process, including efforts to meet customer expectations and needs.

Given that JLM Couture has no significant bank debt and is actively working out a restructuring plan with its trade vendors and professional creditors, JLM Couture remains committed to delivering top-tier designs to its clientele and is hopeful that this restructuring will fortify its position and enable the Company to return to a position of strength in the wedding gown industry.

About JLM Couture, Inc.

For 30 years, JLM Couture, Inc. has been a leader in the wedding gown industry, known for its innovative designs and unparalleled commitment to quality. For further information, please visit our website or contact our media relations department.

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Media:

Grace Lane

Media Representative

pr@jlmcinc.com

Source: JLM Couture, Inc.