Bburago gone bankrupt

[redbaron]

The models where many people started their modelcollection has gone bankrupt.

"In regard to the liquidation of the businesses Bburago, etc. (all related entities by name). In anticipation of the sale of all the business assets, in order to establish a base (alt.: "starter") value and in order to work with the creditors to agree on a value, the interested parties must submit their irrevocable proposals to the bankruptcy court in Monza by 1 PM on October 31, subject to the following conditions: 1. The minimum sales price is fixed at 21,500, 000 euros net after (sales) taxes, reduced by the value of inventory used from September (6?) to November 21, 2005 (it’s common to allow production to continue to fill outstanding orders) 2. The offer must be accompanied by a check of 500,000 Euros issued to IBG SpA (the receiver, i.e., a specific entity with legally holds the assets for liquidation) and c.p. (???) to guaranty the obligations of the bidder. 3. In case the offers are above the (21,500,000 Euro minimum) selling price, the there will be an auction held at 4 PM on October 18 at the court in Monza, and the bids must be in minimum increments of 150,000 Euros. 4. The objects of the sale are all assets of the companies, consisting of inventory, systems, machinery, equipments, stamps, licenses, samples (models ornament?), and the BBURAGO and POLISTIL trademarks free from liens (encumbrances), all as best described in documents which will be accessible in a specific room at the central office of IBG company in Buragoa Molgora, excluding all the accounts receivable and accounts payable of the related companies. Also, the assets of the foreign companies Momocar Kft, BBurago USA Inc. and Burago France are included. (They must expect the money obtained from collecting on trade receivables will offset the payables due suppliers.) 5. The purchaser’s claims (rights) in the contracts are subordinated to the continuing operations of the business to the date of transfer (of the assets), specifically licenses, administrative rights (?), leasing contracts (related to leased equipment used by but not an owned asset of the companies) 6. The purchaser has the responsibility (burden) of removing the equipment within normal rules, and will either have to negotiate a new lease of the buildings (real property/real estate) currently occupied or will have to remove the equipment from the buildings (real property/real estate) with the responsibility to restore any part of the real property (that may have been changed during the removal of the equipment)… 7. The purchaser can make the payment of the purchase price over time, but it can’t be for a period longer than a year, the purchaser will be charged interest at the 3 month Euro interbank borrowing rate, the purchaser’s obligations have to be supported by a bank guaranty (a bank Letter of Credit?), and??? 8. The company’s assets (which are being sold hereby) will be managed by a third party until November 21, after which the highest bidder can take the equipment. 9. It (the purchaser’s offer) must stipulate that the sale contract (the contract for the purchase of the assets) will be completed by November 22 10. The purchaser will have to assume responsibility for certain of the existing obligations (of Bburago) under certain laws and related to a certain trade union agreement (perhaps certain retirement benefits or termination compensation required by Italian law?). 11. The sale will not take place in case certain banks have not released their interest in the trademark Bbugaro by September 5. Supporting information, statements, and conditions of the sale are reviewable on the website or directly with the business liquidator(receiver) Dr. Benzoni, and with Dr. Pooncini for (a review of) the legal procedures (or legal formats for bidding)."

source :arrow: www.bburagoworld.nl

[nthfinity]

i cant say im suprised... thier models have always seemed much more cheaply made; and not as fun to look at/accurate etc.

i have one, after that, i decided against buying one again

[Erez]

sad thing..

[RC45]

The writing was on the wall many, many, many eyars ago - when Revell began to sell 1/18 diecast cars, and they chose to the far east as the source of their technology, model makers and business base - you knew that the die-hard European brands that refused to step down to the toy market or step up to the detailed scale model market were doomed to eventualy go under.

You cannot sit in between the 2 markets with sort of detailed toys (bBurago always had detailed 1/32 & 1/43 models with toycar wheels) and expect to compete with the likes of Tamiya, Kyosho or eben Revell and Fujimi - each of those plastic model companies began testing the die cast waters as early as 1990.

You can hold a 1990 Kyosho next to 2005 Kyosho an be blown away by the details... you cannot tell a 1990 bBurago apart from a 2005 car.. they never figured out you need to improve - whiledropping your price.

Hell even the greatest Die Cast maker of American Cars, Ertl, realized they had to start sleeping with the chinese if they wanted to keep up with demand for low priced detailed diecast.

bBurago will be missed, but not wished back.

[TransAm]

I think I have a bBurago 993 back in the UK, lovely metallic burgundy.

As others have said, bBurago are not up to Autoart standards, but it's not horribly bad either.

I also have a MX5 which is either bBurago or Maisto (I think the latter) it's the special edition metallic blue one with chrome wheels which Mazda released in 1998/99...

[antonioledesma]

hmm, sorry to read that... maybe I'll wait for the models to drop down their prices and buy a couple of those models

[Mers]

Well, i only owe My F40LM to bBurago, although i have other cars, they are pretty easy to find bBurago models.....but it will be missed...definitely