Gorell Enters Receivership
Gorell Windows & Doors entered receivership last week and could be sold to new owners, according to an article in the local newspaper. A Pittsburgh-based private investment firm, the Meridian Group, has been appointed receiver for the vinyl window manufacturer, which continues to operate while its future is determined.
"The company has been struggling through the recession and has been hit with a series of things related to the downturn in the market," Margaret Good, Meridian president, told the Indiana (Pa.) Gazette. Majority owner Wayne Gorell and other co-owners put money into the company to cover losses, she reported, but "it was determined they needed to figure out a different direction."
In a follow up article with the Indiana Gazette, it was reported that Meridian Group officials were in active discussions with five suitors. The company is trying to find someone to buy Gorell as soon as possible to maintain the vinyl window maker's customer base.
As of 2010, Gorell was reporting record growth thanks in part to the tax credits for energy efficient window and doors, but also due efforts to expand its dealer network into new territories. Continued weakness in the economy, however, created new struggles at Gorell, leading the company to ask union members at its manufacturing plant to accept a $2 an hour pay cut.