N.Y. Investment Firm Buys National RV Shares
A New York investment firm called Grandview LLC and managed by Millennium Management LLC has purchased 888,639 shares of National RV Holdings Inc., taking a bargain-basement-priced, 8.6% position in the holding company and its closed Perris, Calif., RV manufacturing firm, National RV Inc.
Grandview paid $85,400 for the stock, according to a Securities and Exchange Commission statement filed by Millennium on Dec. 4.
The SEC filing mentions no operational plan for National RV, a motorhome manufacturer that shuttered its headquarters and production facilities on Nov. 30, laying off 600 workers and filing for Chapter 11 bankruptcy in the process. National RV had lost money every year since 2002, posting more than $80 million in losses during that period.
Meanwhile, one of those furloughed National RV workers, Henry Caouette, who worked at the company for two years as a production supervisor, is seeking class action status for his complaint filed with the U.S. Bankruptcy Court in Riverside asking for two months’ severance pay and benefits, according to the Press-Enterprise of Riverside.
National RV laid off its work force without warning or severance pay, citing a “faltering company” exception to a labor law, the Press-Enterprise reported. National said it was actively seeking funding during the two months prior to shutting its doors.
The complaint for which Caouette is seeking class-action status alleges that, under the Worker Adjustment and Training Notification Act, companies are required to give either 60 days’ warning or 60 days of severance. “We were all led down a rough path, all the while they told us everything was going to be rosy and fine,” he said.