Invincible gets a new owner

Schenian will seek to trim production costs, may add jobs

By: Charlie Mathews, Herald Times Reporter

MANITOWOC — A circuit court judge Tuesday endorsed the takeover of Invincible Office Furniture by a Francis Creek businessman whose $2.1 million bid will keep Invincible in operation, and save most of the 75 employees' jobs.

"With the trained workforce Invincible has, it would be a waste not to keep them," Steve Schenian said after the hearing in Judge Patrick Willis' courtroom.

"This was the best possible outcome," said C.J. Murray, a Milwaukee attorney with the company that took control of Invincible in March, after its board of directors voluntarily assigned its assets to a receiver for the benefit of its creditors.

Schenian submitted his bid Monday during an auction in Milwaukee.

The possibility had existed that Invincible's assets would be sold to different investors, forcing the manufacturing plant at 842 S. 26th St. to close its doors.

Its most well known product may be metal filing cabinets, found in thousands of offices nationwide, including his own, Schenian said.

"Everybody was very upbeat and the receiver congratulated everyone for hanging in there," Schenian said after meeting with Invincible employees following the court hearing.

"Actually, once the word gets out that Invincible is up and running, I hope we can get back to the 90 people the company had (on the payroll) before the first of the year before some layoffs and attrition they had," Schenian said. "As orders pick up, I hope to hire people back."

Schenian, who owns a trucking company, believes operational expenses can be trimmed. "There is a lot of cost cutting which can be done with just a new outlook, a new set of eyes," he said.

"We're also changing some of the policies to make it more positive for the sales representatives, to give them some more incentives," said Schenian.

"This is an opportunity in tough economic times for something positive to happen here in Manitowoc," said Dave Pawlowski, an attorney with the Manitowoc firm Salutz & Salutz, which has been advising Schenian.

Pawlowski said that for Invincible to be competitive in the office furniture marketplace, a significant investment would be made beyond Schenian's initial $2.1 million outlay.

Schenian outbid two other parties for Invincible's assets, after 31 potential purchasers were given confidential access to Invincible's financial records.

Documents filed with the court showed debts to Bank First National of $2.8 million, Nicolet National Bank of $250,000, and $354,000 of the city of Manitowoc.

The proposed auction proceeds disbursal brought before the court included $220,000 to Nicolet National Bank, $5,000 to former owner, John Schuette, for miscellaneous equipment, and the remainder to Bank First National. Willis' order becomes final on Tuesday.

David Less, city planner, acknowledged to the judge that the city would not recover any funds, but was pleased the company would stay in operation with jobs saved.

During his due diligence research Schenian said he met with several Invincible employees. "They have a lot of fire in the belly, and are very enthusiastic about new opportunities for the company," Schenian said.

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