The violation of the financial covenants meant that the banks were in the driver’s seat. They insisted that Schwinn prepare a financial recovery plan. The confrontation with the bankers in the schwinn dealers early 1990s had been set up by an earlier decision not to raise money in the private capital markets. The Schwinn family did not want to have outsiders controlling the fate of Schwinn.
Search results are sorted by a combination of factors to give you a set of choices in response to your search criteria. “Preferred” listings, or those with featured website buttons, indicate YP advertisers who directly provide information about their businesses to help consumers make more informed buying decisions. YP advertisers receive higher schwinn dealers placement in the default ordering of search results and may appear in sponsored listings on the top, side, or bottom of the search results page. In 2001, Schwinn/GT was once again in bankruptcy court staving off creditors. During the court proceedings, Pacific Cycle outbid Huffy Corporation to purchase the Schwinn/GT bicycle brand from Questor.
However, he was rolling the dice by putting Schwinn in the hands of a bankruptcy judge. Making matters worse, these were not just ordinary suppliers. They were producers of strong competitive bicycle brands such as Giant. The Asian suppliers even talked about taking over Schwinn and assuming its debt, but the deals did not pan out. With growing financial pressures, the final payments to the family trust were made up until 1990. The family knew that a Schwinn bankruptcy could wipe out their payment for good.
The total Zell-Chilmark deal including the debt waiver by China Bicycles was valued at $61 million. China bicycles offered $2.5 million to the Family Trust and it was grudgingly accepted. After nearly 100 years of sweat, tears, and bicycle innovations, the family schwinn beach cruiser received a paltry sum. The bright side was that the deal would mean that the Schwinn family name would be kept alive adorning bicycles for many years to come. With deals flying in all different directions, China Bicycle Company finally hit on a solution.
However, there were clear warning signs on the horizon. Electric bikes put extra power behind every pedal so you can ride farther, take on bigger hills, and enjoy cycling more than ever before. Zell-Chilmark did contract to purchase Paramounts from the new company created by Richard Schwinn. Sales turned out to be disappointing and after a few years the new owners of Schwinn discontinued the arrangement. Zell-Chilmark first tried to buy Schwinn’s $30 million debt from the banks.
Questor/Schwinn later purchased GT Bicycles in 1998 for $8 a share in cash, roughly $80 million. The new company produced a series of well-regarded mountain bikes bearing the Schwinn name, called the Homegrown series.[62] In 2001, Schwinn/GT declared bankruptcy. Questor also purchased GT Bicycles and merged it with Schwinn. This resulted in the production of the Schwinn homegrown series and mountain style bikes. The Schwinn bikes were among the best quality sold in the big box stores. The Typhoon probably dates from the late ’50’s or ’60’s.
The Schwinn Voyageurs are fun, versatile bikes for today’s comfort minded fitness rider. Whether leisurely riding on a bike path, riding through the city, or commuting to work, these bikes are the perfect way for today’s health conscious rider to get back on the bike. The Schwinn Voyageur has been built with comfort in mind, from the geometry to the components, riders will enjoy a quick, stable ride each and every time they get on the bike. We proudly serve all types of cyclists, including new and veteran riders, road and mountain aficionados, and recreation and transportation cyclists. Whether you prefer to shop on our website or to come visit us, we’re here to help you with all of your cycling needs. Learn more about what makes us unique, and visit us today to meet our friendly staff and experience our incredible product selection.
China Bicycles asked to join the Schwinn bid by Zell-Chilmark. The logic of working with a supplier did not fit well with Zell-Chilmark’s plan so they declined the offer. As the number two creditor, Giant also wanted to cut a deal. But Zell-Chilmark was not thrilled with working with a Schwinn supplier and brand competitor. In 1992 I bought my tall 12-year-old daughter a Schwinn Crosscut.
Developed from experiences gained in racing, Schwinn established Paramount as their answer to high-end, professional competition bicycles. The Paramount used high-strength chrome-molybdenum steel alloy tubing and expensive brass lug-brazed construction. During the next twenty years, most of the Paramount bikes would be built in limited numbers at a small frame shop headed by Wastyn, in spite of Schwinn’s continued efforts to bring all frame production into the factory. By 1950, Schwinn had decided the time was right to grow the brand. At the time, most bicycle manufacturers in the United States sold in bulk to department stores, which in turn sold them as store brand models. F. Goodrich bicycles, sold in tire stores, Schwinn eliminated the practice of producing private label bicycles in 1950, insisting that the Schwinn brand and guarantee appear on all products.