West Marine’s Official Committee of Unsecured Creditors is still pushing for expanded discovery into the transactions that built the company’s capital structure, with the dispute unresolved heading into next month’s confirmation hearing.
The seven-member committee, chaired by Garmin USA and including Realty Income Corporation, Facility Solutions Group, Modern Recreational Technologies, East Penn Manufacturing, Virtual Supply and Lippert Components, filed a Rule 2004 motion on June 26 seeking documents and testimony on West Marine’s 2017, 2021 and 2023 pre-petition transactions. The committee is also challenging the releases built into the company’s proposed plan of reorganisation.
West Marine’s debtors objected on July 1, arguing the request amounted to accelerated confirmation discovery that went beyond what Rule 2004 was designed for. According to case-tracking reports, a status conference the same day produced a more consensual path: expanded document production, a deeper review session on July 6, and an in-person settlement meeting on July 7. The court kept hearing dates on July 13 and August 3 open to monitor progress, with the dispute still unresolved as of the most recent hearing.
The committee’s own court filings put total Class 6 general unsecured claims at between $99.3 million and $109.2 million, against a plan that offers the class just $250,000 in total distribution. Recovery works out to between 0.2 and 0.3 per cent if the class votes to accept the plan, and nothing at all if it votes to reject it, a structure known in restructuring circles as a death-trap provision.
Garmin International is owed $8.57 million, Virtual Supply $5.8 million and Sierra International $4.7 million, according to court papers. That leaves unsecured creditors with little practical leverage beyond the discovery process itself.
A separate, narrower dispute is also on the docket over cure amounts owed to contract counterparties and landlords whose agreements West Marine intends to assume, among them Sierra International, Virtual Supply, Lippert Components, Navico, Raymarine, Pure Fishing and Star Brite.
None of this affects the substance of the recapitalisation plan already confirmed by Powerboat News: term loan lenders convert $251.2 million of debt into 100 per cent of the equity in the reorganised company, and existing owners L Catterton and Oaktree are wiped out. What remains open is whether the unsecured creditors’ committee extracts any concession, whether through the discovery process or a negotiated plan modification, before the deadlines close in.
The Case So Far
Monomoy Capital Partners acquires West Marine in a deal valued at approximately $338 million, loading the buyout debt onto the company’s balance sheet.
L Catterton acquires a controlling stake, with new debt financing from Barclays, Golub Capital and Nomura.
West Marine restructures roughly $800 million in debt. Oaktree Capital Management gains joint control alongside L Catterton.
West Marine files in Delaware (Case No. 26-10794, Judge Karen B. Owens), backed by a Restructuring Support Agreement covering 96.2% of term loan lenders, 100% of FILO lenders and 93.9% of equity holders.
Debtors file notice identifying 59 stores for closure across 23 states.
Court approves the store closing motion. Section 341 meeting of creditors held the same day.
The Committee objects to the debtors’ cash collateral motion, disclosing that general unsecured creditors are being offered just $250,000 in total.
The seven-member Committee, chaired by Garmin USA, retains Ice Miller LLP as Delaware counsel.
The bid deadline passes with no qualified offers. The Committee files a Rule 2004 motion seeking discovery into the 2017, 2021 and 2023 transactions.
Debtors object to the discovery motion as premature. With no bids, the scheduled auction is cancelled and the case proceeds on the standalone recapitalisation track.
Debtors file the Ordinary Course Professionals declaration (Docket No. 387).
General claims bar date passes. Court hearing held to monitor progress of the discovery dispute, still unresolved.
Deadline for creditors to vote on the plan, 4:00pm ET. Upcoming.
Deadline to object to the plan or disclosure statement, 4:00pm ET, with an omnibus hearing that morning at 10:00am ET. Upcoming.
Combined Disclosure Statement and Plan Confirmation Hearing before Judge Karen B. Owens, 10:00am ET. Upcoming.
Key Dates
| Date | Event |
|---|---|
| July 31, 2026, 4:00pm ET | Voting deadline on the plan |
| August 3, 2026, 10:00am ET | Omnibus hearing |
| August 3, 2026, 4:00pm ET | Plan/disclosure statement objection deadline |
| August 11, 2026, 10:00am ET | Combined Disclosure Statement and Plan Confirmation Hearing |
The combined disclosure statement and plan confirmation hearing, already pushed back once from July 30, is scheduled for August 11 at 10am ET before Judge Karen B. Owens in Delaware.
Sources
This article draws on court filings in In re West Marine, Inc., et al., Case No. 26-10794 (KBO), U.S. Bankruptcy Court for the District of Delaware, accessed via the case’s official claims and noticing agent, Verita Global:
- Docket No. 233, filed June 12, 2026 – Objection of the Official Committee of Unsecured Creditors to the Debtors’ Motion for Entry of Interim and Final Orders (I) Authorizing the Debtors to (A) Use Cash Collateral, and (B) Grant Liens and Provide Superpriority Administrative Expense Claims, (II) Granting Adequate Protection to Certain Prepetition Secured Parties, (III) Modifying the Automatic Stay, (IV) Scheduling a Final Hearing, and (V) Granting Related Relief
- Docket No. 299 / 299-1, filed June 24, 2026 – Application of the Official Committee of Unsecured Creditors of West Marine, Inc., et al., for Entry of an Order Authorizing the Employment and Retention of Ice Miller LLP as Delaware Counsel Effective as of June 2, 2026
- Docket No. 387, filed July 10, 2026 – Notice of Filing of the Declaration of RSM US LLP in Connection with the Ordinary Course Professionals Order (Docket No. 275)
- Docket No. 227, filed June 11, 2026 – Notice regarding the Order (I)(A) Approving Bidding Procedures, (B) Authorizing the Debtors to Enter into One or More Stalking Horse Purchase Agreements and Provide Bid Protections, (C) Scheduling an Auction and Approving the Form and Manner of Notice Thereof, (D) Approving Assumption and Assignment Procedures, and (E) Scheduling a Sale Hearing and Approving the Form and Manner of Notice Thereof, and (III) Granting Related Relief
- Docket No. 202, filed June 9, 2026 – Final Order (I) Authorizing the Debtors to Redact Certain Confidential Information of Customers and Personally Identifiable Information of Individuals, (II) Authorizing Electronic Noticing Procedures, and (III) Granting Related Relief
- Docket No. 110, filed June 1, 2026 – Notice regarding the Debtors’ Motion for Entry of an Order (I) Authorizing the Debtors to Assume Consulting Agreement, (II) Authorizing Store Closing Sales at Certain Locations and Approving Related Procedures, (III) Authorizing Customary Compensation Enhancement, and (IV) Granting Related Relief (Docket No. 80)
Additional reporting: Law360 Bankruptcy Authority, “Under The Radar: Bankruptcy News You May Have Missed,” July 1, 2026; SGB Media Online, “EXEC: West Marine Cancels Bankruptcy Auction, Pursues Reorganization Plan,” July 7, 2026.
John Moore is the editor of Powerboat News, an independent investigative journalism platform recognised by Google News and documented on Grokipedia for comprehensive powerboat racing coverage.
His involvement in powerboat racing began in 1981 when he competed in his first offshore powerboat race. After a career as a Financial Futures broker in the City of London, specialising in UK interest rate markets, he became actively involved in event organisation and powerboat racing journalism.
He served as Event Director for the Cowes–Torquay–Cowes races between 2010 and 2013. In 2016, he launched Powerboat Racing World, a digital platform providing global powerboat racing news and insights. The following year, he co-founded UKOPRA, helping to rejuvenate offshore racing in the United Kingdom. He sold Powerboat Racing World in late 2021 and remained actively involved with UKOPRA until 2025.
In September 2025, he established Powerboat News, returning to independent journalism with a focus on neutral and comprehensive coverage of the sport.
