Saturday, October 2, 2010

Carlyle Shafts Tootsie

The Carlyle Group's Oriental Trading declared bankruptcy.  Suppliers must line up for payment.  WSJ reported:

Tootsie Roll is demanding immediate payment of $123,176.72 from the struggling seller of discount party supplies, crafts and decorations.

The company said that it shipped multiple batches of confections to Oriental Trading within 20 days of its bankruptcy filing but never saw any payment in return.
David Rubenstein has many Chicago connections.  One might expect him to make good on the bill for a hometown company.   First Texas, now Tootsie Roll.