Founded in 1954, Kraco was focused on producing more than just another automotive accessory - they were determined to provide customers cheaper, high-quality alternatives to the accessories available for retail sale. Kraco has expanded its product line since its founding, offering floor mats, seat covers, steering wheel covers, sun shades and reflectors, full-vehicle covers and window tints. They continue to operate as a private, family-owned business, with $110 million in revenue each year.
Winter Harbor was engaged to guide Kraco through a full operational restructuring and act as reporting liaison to its lender. In short, we:
- Served as Chief Restructuring Officer.
- Oversaw the development of a business recovery plan, delivered to board members and senior management.
- Identified and managed the execution of profit and cash improvement projects.
- Led correspondence with key vendors.
- Consulted on negotiations with credit constituencies.
- Monitored Kraco's daily operations and financial condition, including cash flows.
- Compiled and presented progress reports to senior lender.
Winter Harbor was hired by Kraco’s senior lender to serve as Chief Restructuring Officer, after Kraco experienced of period of revenue decline. We assisted Kraco with restructuring its operations and reported all progress to its lender. As CRO, we oversaw cash flows, monitored operations, led communications with vendors and ensured compliance standards were met. We developed a restructuring plan for Kraco which was delivered to board members and senior management to follow. The engagement continued with us partnering with Kraco to implement the restructuring plan and carry out improvement initiatives.