Company lays off almost 300 employees.
UAV Corp., the music and video racking, manufacturing and content company based in Fort Mills, S.C., revealed June 20 that it shuttered its wholesale operation, laying off almost 300 employees.
Industry suppliers say they are worried about the possibility of the company filing for Chapter 11 filing, although a company spokesman says that such talk is wrong.
The company, which had about $100 million in revenue in its most recent fiscal year, continues operation with about 40 staffers for its content business and manufacturing operation.
Attempts to sell the company have been unsuccessful so far. The company said in a statement, “The sale of the content division was critical to the company as UAV has been operating for several months under increasing financial stress. Without this sale in place, the company no longer had sufficient funds to operate and therefore reluctantly closed its distribution division while it continued to seek a buyer for the entire company.”