This may help a little, but is still a few months old,
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Jinwong Partners Quest with Niwot Sports To Form Q Outdoors
Following a number of unsuccessful attempts to sell the Quest license to
recoup money lost as a result of the Chapter 7 filing by Moonstone Inc.
(also known as Moonstone/Quest), Jinwoong opted to partner with Niwot
Sports to form a new company, Q Outdoors, to market and expand the Quest
product line. Niwot presently owns JRat, Bolder Designs and Mountain
Mend warranty repair service; and Kevin Furnary is its president.
"We will not receive any cash up front," says Jim McKelvey, senior vice
president and CFO for Jinwoong, "but will instead be part owners in the
new company and have certain rights each year to either take money out
of the business or reinvest it into the company in exchange for an
increased stock position.
"It was very important to Jinwoong that we see the continuation of the
Quest name and product line in the marketplace, and with the arrangement
with Kevin Furnary and Niwot, that will happen," adds McKelvey. "If this
works as well as we hope it will, there will be an IPO down the road for
us and an increase in our stock and investment."
Quest product is already on its way to the United States with Jinwoong
gearing up to provide stock for retailers by January 15 for spring '98
orders. A second spring shipment is planned for the end of March shop
delivery.
Q Outdoors will be run by an owner-management team including Furnary as
president, Tom Balkum (who also sits on the board of Niwot) as COO, John
Andico (formerly national sales manager for Quest) as executive vice
president of sales, Mary Hennsingsen (formerly operations manager for
Quest) as operations manager, and Dave Whaley as controller. A CFO will
be selected from a list that was being prepared by the management team
as we went to press. Other former Quest/Moonstone reps and employees
returning are Ted Fortuna, Peter Werbel and Jesse Guthrie.
Furnary reports that they are moving the brand headquarters to Boulder,
Colo., where they will market and expand all the Niwot trademarks under
one roof.
"An eventual merger of my company [Niwot] into Q Outdoors will occur, so
all trademarks will be under the Q Outdoors label," says Furnary.
While McKelvey acknowledged that merging the trademarks is a goal down
the road, he stated firmly that any decision along those lines was up to
the board and a step that was in the future.
The board of directors that will be advising and overseeing the
operations of Q Outdoors include: Furnary, McKelvey, Andico, Dick
Holcombe, Ken Kurica, Wally Berg, TP Lee and Scott Reeves.
"With the joining of the Jinwoong resources and Niwot Sports' innovative
technologies, Q Outdoors will have a dynamic range of packs, tents,
sleeping systems, hardgoods, technical apparel and accessories to serve
all levels of retail distribution," says Furnary.
"Our company will have the unique position of working like an
independent that can effectively innovate for specialty retailers to
help them stay in front of the competition, while having the resources
and prices to competitively market to the big houses," adds Furnary.
-- Michael Hodgson <<<<<< |
