A lengthy filing posted on January 10 in the U.S. Bankruptcy Court for Eastern Pennsylvania provides a glimpse of some of the inner workings of Good Enterprises (the parent company of Good Books), which filed for Chapter 7 liquidation on December 11.
According to the documents, Good Enterprises lost $956,868 and $733,468 in 2011 and 2012, respectively, and another $334,749 in 2013. Cofounder Phyllis Good is one of the company’s largest creditors; she’s owed $996,405 for a loan that she made. Good wrote the company’s popular Fix-It and Forget-It cookbook series. As an employee of the company, she earned $158,198 between Dec. 10, 2012, and Dec. 10, 2013, while her husband and business partner, Merle Good, made $170,446 during that time. Two of the couple’s daughters were also on the payroll, with Kate Good earning $93,306 and Rebecca Good making $75,566.
Among Good Enterprises’ major assets is approximately $2.7 million of Good Books inventory, located in the Simon & Schuster warehouse. S&S is Good Books’ distributor, and late last week it received approval from the bankruptcy court to continue to sell the stock it has on hand. The Fix-It and Forget-It brand name is another listed asset (for an unknown value). The filing also has the information for approximately 100 Good Books authors that Good Books had under contract. Other contracts include e-book distribution deals with Open Road Media and Rosetta Books, and an agreement with Oxmoor House to do bookazines.
After Pennsylvania-based Susquehanna Bank, which is owed roughly $6 million, Good Enterprises’ list of creditors includes S&S, which is owed $152,913. R.R. Donnelley is the biggest trade creditor, owed just under $1.5 million. Book manufacturer Bethany Press is owed $202,746; the Mayo Foundation for Medical Education is out $202,616; and Ingram is owed $32,050 (PW is on the list as well, for $6,000).
According to the filing, Good Enterprises has liabilities of $10.3 million and assets of $12.6 million, with a large chunk of its holdings—$5.4 million—tied up in commercial property along Old Philadelphia Pike in Lancaster County.
