Blaming the housing market slowdown, flooring and wall tile importer IWT Tesoro Corp. filed for Chapter 11 bankruptcy protection.
IWT Tesoro plans to continue normal business operations as it reorganizes with financing from Bank of America Corp. At the close of last year, the company had 135 employees.
The Westport company listed debts of $48 million and assets of $40 million. For the first half of 2006, IWT Tesoro lost $4.2 million on revenue of $29 million.
In early September, IWT Tesoro received a default notice on a $2 million loan from Laurus Capital Management L.L.C., a New York City company which at last report owned a 19 percent stake in IWT Tesoro.
IWT Tesoro”™s largest unsecured creditor is General Noli, a Miami Shores, Fla., company owed $1.5 million.
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