27 August 1999
Iron Crown Enterprises ("ICE") has filed a voluntary petition in the United States Bankruptcy Court pursuant to Chapter 11 of Title 11 of the United States Code. This is a prelude to the revitalization of our company. In fact, it is the last step in a reorganization process that began last Spring. It is not a step toward dissolution.
As you may know, ICE has been in business since 1980, and the firm has weathered many difficult travails. We have labored hard through some very lean and some astoundingly prosperous years. In the process, we have produced a large body of well-crafted and critically acclaimed work. (Only TSR has produced more adventure game titles than ICE.) We are very proud of this legacy.
Still, ICE bears a very large debt load. We have serviced this debt for some time. In fact, much of the problem can be tied to our Middle-earth Quest gamebook licensing disaster of 1985-86. The recent failure of many of our top domestic and international distribution customers created additional strain. This, coupled with structural changes in our once-reliable core adventure game market, has forced us to reorient the way we do business.
Our overall restructuring will take some time. ICE will not be healthy until this reorganization is complete. This filing is therefore in the best interests of both ICE and its creditors, for it affords us the time and protection necessary for us to stabilize and develop a long-term plan that will address both our debts and our future. It is undoubtedly the best course of action.
ICE has bounced back from far more difficult challenges. More than once, we have been on the ropes and rebounded. In this case, we will employ a court-sanctioned plan to restore our strength, begin growing again, and never again face the risk of destabilization. Given our talented and experienced staff and our strong portfolio of products, we are confident about our plans.
We will keep you posted regarding further developments. In the interim, we appreciate your faith and patience, and we look forward to working with you now and in the near and distant future.