Beaulieu Group filed voluntary petitions under Chapter 11 in the U.S. Bankruptcy Court for the Northern District of Georgia.

The company’s existing lenders, with Bank of America as administrative agent, have agreed to continue to support the company by providing debtor-in-possession (DIP) financing that will be combined with its cash from operations to ensure and support continued business operations. According to documents filed with the bankruptcy court, the financing will be in the form a revolving asset-based facility for an amount up to $70 million.

“Beaulieu family members and our board of managers believe pursuing a restructuring through chapter 11 is the best path forward at this time,” said Michael Pollard, president of Beaulieu Group.

“This is a necessary process as we continue to execute our long-term strategic plans for the business. Our business model has changed with the industry and our client base since our current capital structure was put into place. This restructuring will allow us to invest in the business going forward and emerge a stronger organization. We remain steadfast in our commitment to our customers and employees throughout this process. I am confident that we have the talented and committed team capable of executing the reorganization plan. We appreciate the support of our vendors and customers as we move through this process.”

Dalton, GA-based Beaulieu is a 40-year old family-based flooring and carpet company.