It appears a few businesses in Honolulu have fallen on tough economic times, with both the Honolulu Symphony and the Honolulu Medical Group filing for Chapter 11 bankruptcy protection.
The Honolulu Symphony, a 110-year-old organization, announced its plans to file for bankruptcy shortly after the chairman of the board of directors said it does not have enough money to make its payroll.
On Oct. 1, with $1 million in debt, the board of directors voted in favor of filing for Chapter 11.
While many companies and organizations continue to operate their business during the bankruptcy process, Honolulu Symphony Society Executive Director Majken Mechling said the orchestra cannot continue to operate.
"Given its current and projected financial status, the society cannot continue to sustain a 64-piece orchestra. We cannot continue with business as usual."
Because shows scheduled for November may be canceled, tickets sales for the remainder of November have stopped as well. It is not clear whether the symphony will keep its scheduled concerts for the rest of 2009 and 2010.
Another Honolulu business entity, Honolulu Medical Group, Inc., has filed for Chapter 11 bankruptcy as well, claiming it owes more than $750,000 in unpaid rent.
The group listed assets worth less than $50,000, with debts totaling between $1 million and $10 million.
The petition was filed by the Medical Group's three owners, physicians Scott Himeda, David McEwan, and Steven Sameshima.
In addition to the group's landlord, Queen's Development Corp, other creditors listed in the filing include Diagnostic Laboratory Services, a Texas-based medical billing company, and eTechs Hawaii, a Kailua-based technology firm.
Despite filing for bankruptcy, the Medical Group will continue to operate as usual, with no interruptions to patient care or employees.
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