Polaroid goes bankrupt
Friday, December 19, 2008
Camera company United States. The firm, famed for the introduction of , says alleged fraud by the founder of their parent group is to blame.has filed for bankruptcy protection in the
Owned since 2005 by, Polaroid says that the group's founder is "under investigation for alleged acts of fraud that have compromised the financial condition of Polaroid." Authorities believe Petter, currently in police custody, was running fraud worth 3 billion, something he denies.
Petters Group, itself, filed for bankruptcy in October. Both firms now face restructuring, which Polaroid is confident won't affect daily operations — in fact, the company is "planning for new product launches in 2009," and claims to have "entered bankruptcy with ample cash reserves sufficient to finance the company's reorganization under Chapter 11."
Polaroid has further said that employees will be paid without interruption, and that while members of Petters Group are under investigation for fraud, Polaroid's management is not. The company, based in Minnesota, also has subsidiaries which will enter bankruptcy with it.
- "Polaroid in bankruptcy protection" — , December 19, 2008
- "Polaroid files for Chapter 11" — , December 19, 2008