Throughout the process, ATD has maintained to employees and its customers that business has been and will continue as usual.
"I want to thank our team of more than 5,000 associates, who have maintained an unwavering focus on serving our customers and working with our manufacturer partners," Mr. Schuette said. "Our associates continue to be the driving force that is enabling ATD to lead change in the industry.
"I also want to thank our customers, manufacturer partners and other business partners for their continued support and trust throughout this process."
ATD's Canadian subsidiary, National Tire Distributors, has not been affected by the process.
ATD's difficulties began earlier this year when two of its largest customers, Bridgestone Americas Inc. and Goodyear, announced they were discontinuing most or all of their supply relationship with the tire distributor. The two tire makers launched their own distribution joint venture, TireHub L.L.C., which began operations on July 3.
Soon after learning of ATD's losing these major customers, Moody's Investor Service Inc. questioned whether the wholesale distributor had sufficient cash reserves to cover certain projected interest payments and maintenance costs in the near future.
In late July, ATD restructured its operations internally, eliminating 100 positions at its Field Support Center (FSC) in Huntersville as part of a new strategic plan. In addition, ATD said it would reinvest in 40 new positions — in large part to bolster its Tire Pros franchisees — many of which have been filled.
Chicago-based Kirkland & Ellis L.L.P. is serving as legal counsel to ATD, while global consulting firm AlixPartners L.L.P. is an operational adviser. Investment banker Moelis & Co. L.L.C. is serving as financial adviser.
More information is available on ATD's restructuring website at ATDrecapitalization.com. Interested parties also may call ATD's restructuring hotline tollfree at 866-967-0495, or from outside the U.S., +1-310-751-2695.
Questions also can be submitted by email to [email protected]. Court filings and other documents related to the court-supervised proceedings are available on a separate website administered by ATD's claims agent, KCC, at kccllc.net/ATD.