Kelly-Moore was founded in 1946 by William Kelly and William Moore in San Carlos, California. For the past 80 years or so, the company has been a staple and leader in the paint industry.
Kelly-Moore has accumulated a debt of $600 million because of multiple lawsuits filed against the company for using asbestos in their products.
Kelly-Moore somehow paid $600 million in lawsuits over the past twenty years. But it still has over $170 million in future legal liabilities, along with an undisclosed sum of unpaid sales and use taxes.
The paint supply company made an abrupt announcement recently saying that it will shut down all of its 157 stores and cease operations permanently.
Kelly-Moore tried to look for opportunities for mergers, reorganization, potential sales, new capital investment, Bankruptcy, etc., but all the efforts failed.
During the wind-up process, the company will try to fulfill previously placed orders and compensate the workers who have worked there.