Core-Mark

Core-Mark Holding Company (NASDAQ: CORE) (formerly Fleming Cos.) is a supplier of consumer package goods to retailers in the United States.

History

Fleming Companies

Fleming Cos was founded as Lux Mercantile in Topeka, Kansas in 1915 by O.A. Fleming, Gene Wilson and Samuel Lux. In 1941, the company name was changed to The Fleming Company, and Ned Fleming was named President, Chairman, and CEO. The company's IPO occurred in 1959, when 100,000 shares were offered. In 1981, R.D. Harrsion was elected Chairman and CEO of the company, with Dean Werries serving as President and COO. Fleming Cos grew to become the nation's largest supplier of consumer packaged goods to U.S. retailers, serving approximately 50,000 retail locations. These locations included supermarkets such as IGA,^[1] convenience stores, supercenters, discount stores, concessions, limited assortment, drug, specialty, casinos, gift shops, military commissaries and exchanges and others. The company later moved its headquarters to Oklahoma City, Oklahoma in 1984 and then to Lewisville, Texas in 2000 before it went into bankruptcy.

Bankruptcy

Fleming Companies announced in April 2003 that it had filed for reorganization under Chapter 11 of the U.S. Bankruptcy Code. The company's fortunes had suffered considerably over the previous two years as the result of an investigation by the U.S. Securities and Exchange Commission into questionable business and accounting practices. Fleming had also faced a class-action lawsuit from its shareholders over the validity of its public statements, ended its relationship with its largest customer, Kmart, and saw its stock price drop to less than one dollar per share. ^[2] Peter S. Willmott, a member of the company's board of directors, was appointed to lead Fleming through reorganization.

The plan Willmott adopted provided for the reorganization of Fleming's debtors around Core-Mark, a wholesale distribution company founded in 1888 and acquired by Fleming in June 2002. Fleming's other assets and liabilities were transferred to two special-purpose trusts, to be liquidated. All outstanding common stock in Fleming was canceled.^[3]

After bankruptcy

On August 20, 2004, Core-Mark Holding Company, Inc. emerged from the Fleming bankruptcy under the direction of president and CEO J. Michael Walsh. Core-Mark currently serves 20,000 retail locations in the U.S. and Canada, providing marketing programs and distribution and logistics services. Core-Mark relocated its headquarters to South San Francisco.

References

1. ^ Corporatewindow.com
2. ^ Referenceforbusiness.com
3. ^ Fdreports.com

• CJonline.com, "Fleming files for bankruptcy; trading halted." The Capital Journal, 4/1/2003.
• Business.com, profile: Fleming Cos Inc.
• Corporate-ir.net, Supervalu press release, 10 August 2006.
• Fleming Companies, Inc. - Pre & Post Bankruptcy Petition Copyright Infringement
• Sec.gov, August 22, 2008 - SEC Settles Enforcement Proceedings Against Former Fleming Companies, Inc. Executives Mark David Shapiro, Albert M. Abbood, and James H. Thatcher for Their Roles in Financial Fraud Scheme.
• Sec.gov, September 14, 2004 - Securities and Exchange Commission v. Dean Foods Company and John D. Robinson, Civil Action No. 4:04 CV-321/Eastern District of Texas (Sherman Division)- Securities and Exchange Commission v. Kemps LLC, f/k/a Marigold Foods LLC, James Green and Christopher Thorpe, Civil Action No. 4:04 CV-323/Eastern District of Texas (Sherman Division)- Securities and Exchange Commission v. Digital Exchange Systems, Inc., Rosario Coniglio and Steven Schmidt, Civil Action No. 4:04 CV-324/Eastern District of Texas (Sherman Division)- Securities and Exchange Commission v. John K. Adams, Civil Action No. 4:04 CV-322/Eastern District of Texas (Sherman Division)- Securities and Exchange Commission v. Bruce Keith Jensen, Civil Action No. 4:04 CV-320/Eastern District of Texas (Sherman Division).

External links

• Core-Mark website