Beer, Wine and Spirits. Tastings and Travel. News and Events. Classic Flavors from Breweries, Wineries and Distilleries Across the Drinks World.

Thursday, December 07, 2006

Brewing in the Dark? Pittsburgh Brewing's Creditors Growing Impatient

A potential shut off of water service forced Pittsburgh Brewing into bankruptcy last December. Now the maker of Iron City could see its electricity service cut off because of lack of promised payments.

Duquesne Light Co. has petitioned the U.S. Bankruptcy Court for permission to shut off power to the 145-year-old brewery saying the brewery had failed to make a $9,807 security deposit the court ordered paid in February and the company owes more than $45,000 for three months of service.

A year ago today the brewery filed for bankruptcy protection after the Pittsburgh Water and Sewer Authority said it would shut off water over unpaid bills. The water utility says Pittsburgh Brewing still owes $55,000 on a $110,000 security deposit, plus $75,570 in back bills.

Pittsburgh Brewing claims to have new investors lined up ready to pump millions into saving the brewery. It wants the court to allow interim financing from that group so it can make it through the holidays, a key beer selling season. The brewery has refused to publicly identify the investment group, but plans to file a financial disclosure plan with the court on Dec. 20. That document is supposed to indicate exactly how Pittsburgh Brewing plans to fund its operation and emerge from bankruptcy.

No comments: