Case Summary: C&K Market, Inc.

Overview

C&K Market, Inc. is a regional grocery chain operating 43 stores in rural communities in California and Oregon.

Need

In response to a changing retail landscape, C&K filed for Chapter 11 bankruptcy protection in 2013. As part of its reorganization process, C&K focused on its most profitable stores and rationalized overhead. The Company sought a financing partner to who could maximize the value in all of its assets and provide a flexible term loan solution to refinance prepetition debt.

Solution

Crystal provided a $25.0MM term loan secured by a first lien on all assets, except a second lien on A/R and Inventory, which are first lien collateral for the traditional working capital line of credit. This facility in concert with the revolver provided the necessary liquidity for the Company to successfully exit bankruptcy and continue serving their local communities.