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Johnson Tire Service Reorganizing Under Chapter 11 Filing

KSRM News Desk

Johnson’s Tire Service filed Chapter 11 bankruptcy protection in June but is continuing to work to overcome financial difficulties.

 

Anchorage public relations firm Walsh|Sheppard represents Johnson’s Tire Service; Jack Sheppard said a lawsuit in Anchorage pushed the company to file.

 

https://radiokenai.net/wp-content/uploads/2015/07/SHEPPARD-ON-JOHNSONS1.mp3?_=1

Sheppard: “They opened up a new south side location and there was a dispute between the contractor who did the build out that ended up in court and JTS lost that case and ended up with basically all of the legal expenses and that forced them into filing Chapter 11 for protection.”

 

That suit resulted in Johnson’s Tire Service owing more than $630,000 in claims and legal fees.

 

The Soldotna Johnson’s location was recently listed for sale; Sheppard said the company does not own that building but as far as he knows it’s business as usual.

 

Johnson’s is planning to reorganize under the Chapter 11 filing according to Sheppard.

 

https://radiokenai.net/wp-content/uploads/2015/07/SHEPPARD-ON-JOHNSONS-21.mp3?_=2

Sheppard: “Their hope is to be completely out of bankruptcy before the year is out.”

 

Jim Johnson and his wife Janet founded the company 33 years ago. It was taken over by current owner Kelly Gaede in 2006.

 

 

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