Kleen (NH) Emerges from Bankruptcy

Posted February 23, 2017 at 6:52 pm

Kleen Inc., Lebanon, NH, is eyeing a return to profitability following Chapter 11 bankruptcy proceedings, according to media reports.

Following the reorganization, the company is now structured to operate profitably within expectations for the business, said President Dennis Kim. “The fundamentals are there,” Kim said. “We’re now much more stabilized.”

To secure new laundry contracts, Kleen is focusing on extending its service area with new business to the north of its Lebanon-based corporate headquarters. “We’re going to be focusing on Northern New England because of the competitive advantage,” Kim said. Massachusetts and southern New Hampshire are already heavily served with commercial laundry services, the article noted.

The company also has plans for equipment and plant upgrades, according to the report. This year, Kleen will begin a $250,000 project to build a water recycling facility that will cut water consumption by 50%. The company uses 70,000 to 80,000 gallons of water each day. Kleen also plans to spend a similar amount on a tunnel washer, the report said.

Kleen forecasts revenues of $16.2 million and net income of $64,000 in 2017 and revenues of $18.7 million and net income of $193,000 in 2018, according to financial projections filed as part of the bankruptcy proceeding. To read the article, click here.