Mystery surrounds ownership of Hymer North America

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By Greg Gerber
Editor, RV Daily Report

A statement contained in a financial disclosure filed by Thor Industries with the Securities and Exchange Commission Feb. 1 has raised questions as to who owns Erwin Hymer Group North America now that the company is in receivership with liabilities exceeding $300 million.

The disclosure contained this statement: “Among other revisions to the purchase agreement, the amendment documented the fact that EHG (Erwin Hymer Group) sold and transferred the North American operations to be excluded from the transaction prior to the closing….”

RV Daily Report sought an answer as to who owns Erwin Hymer Group’s North American operation; however, the company has refused to respond to multiple inquiries.

Friday, a handwritten application was submitted to the Ontario Superior Court of Justice seeking the appointment of a receiver “as soon as possible to bring critical stability and governance for ENA, preserve optionality (sic) and facilitate an orderly process to develop strategies and options regarding ENA’s operations.”

ENA refers to Erwin Hymer Group North America, and the petition was brought by a representative of Corner Flag, LLC.

In another legal document, it was noted that ENA is a “wholly owned subsidiary of Corner Flag LLC.” No address was given for Corner Flag LLC, however, the document was produced by the law firm of Blake, Cassels and Graydon in Toronto.

The document noted that Corner Flag had funded all wages owned to employees up to and including the date of termination. Funding was secured with a promissory note.

The filing indicated that it was critical that a receiver be appointed to “preserve and maintain the property of ENA and assess realization strategies and options.

“This urgency is heightened given the lack of senior management at ENA and the existence of a corporate governance void,” the document noted.

The document also noted that Erwin Hymer Group North America borrowed $5.09 million from Corner Flag on Feb. 14.

Two questions remain:

  • Who owns Erwin Hymer Group North America?
  • Who is Corner Flag?
Greg Gerber

Greg Gerber

A journalist who has covered the recreation vehicle industry since January 2000, Greg Gerber founded RV Daily Report on April Fool's Day in 2009. He also serves as the editor of the publication and website. As an Eagle Scout, he has enjoyed camping for decades and has visited every state except Hawaii. A DODO -- Dad of Daughters Only -- to three young women, he has two grandchildren as well. He currently splits his time between Wisconsin, Texas and Arizona. Greg can be reached at editor@rvdailyreport.com.

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  • Kyle Dietzen says:

    Keep digging Greg !
    Corner Flag is a LLC formed for the sole Purpose of Acquiring all shares of ENG NA, from EHG SE(Hymer Europe) before THOR would consummate the Deal !
    This ” Carve Out Transaction”, was necessary to rid EHG SE of the Liabilities incurred by ENG NA, they may have come back on EHG SE, and subsequently THOR.
    No purchase amount or consideration has been released by Corner Flag in this transaction. Why buy under the circumstances?
    The reported financial irregularities with in EHG NA are around $ 300 MIL.

    In this persons opinion, who also has a company that supplied ENG NA product, and who is owed considerable monies.

    EHG SE claim that it was unaware of the financial troubles of EHG NA, were unknown to EHG SE is LUDIRCOURS !

    ENG NA, had total indebtedness to ENG SE of 80.5 Mil Euros.

    ENG NA, also owed Commerzbank of New York $ 52 Million . EHG SE took an assignment of this indebtedness from Commerzbank for a price equal to the outstanding amount of debt. Prior to the SPA, (Purchase Agreement from Thor).

    ENG NA had Currency Hedge fund agreements with Commerzbank, Deutsche and 1 other bank, in the amount of $43 million.
    EHG NA, also had $ 86.3 million owed to Trade Creditors/Suppliers !
    In my opinion, THOR and ENG SE, new full well the precarious situation EHG NA in early January or before.
    It appears certain transactions that both parties undertook, where to alleviate any possible recourse against EHG SE and Thor post Sale. Like assignment of debt, Commerzbank $ 52 Million, owed by EHG NA.

    EHG SE had to know, that ENG NA would not be a viable entity without the backing of EHG SE.
    If it was to be viable, why would ENG NA, license the intellectual property necessary to manufacture & sell RV ‘s under Hymer, Cardo & Sunlight Brands to the EH Global Group, prior to the sell ? Thor could use those brands.
    Those brands were as vital to the ongoing nature of EHG NA as was ROADTREK ! Hymer Family got their money, what about the unsecured, trade creditors and suppliers.
    Where does the Class Action Start ?

    • Weworkedthere says:

      Is Corner Flag owed by the Hymer family? Or does THOR have there finger in the pie? 15 months ago we were told profits were up 35% by Christen Hymer. How does a clear assassination happen like this? THOR Industries… If I have anything to do wih it, you will NOT take the Roadtrek name down !!

    • Weworkedthere says:

      My question is… Does THOR own Corner Flag or does the Hymer children? Are THOR Industries the true assassins here?

  • Steve says:

    Hi, it isn’t logical for Thor to be the owners of Corner Flag. It is logical for the Hymer family to be the owners. Think about it, Corner Flag paid out $5 million for the last week of operation, why would Thor do such a thing? Thor wanted nothing to do with EHGNA once they knew of the financial problems.

    My thoughts are that no buyer will be found and Corner Flag will pursue bankruptcy proceedings for EHGNA, get their $5 million back through the liquidation of the assets and eventually dissolve Corner Flag since it served its purpose. Regardless of the financial scandal, it appears EHGNA was in deep financial troubles and no longer a financially viable business. Which is why they won’t find a buyer … time is running out for that.

  • Something'sFishy says:

    Has anyone done any research on Corner Flag LLC? There is no information on them other than it is owned by Paulinus Louis. The only information is:
    CORNER FLAG, LLC is a Florida Limited Liability Company from TAMPA in Florida, United States. The company is ACTIVE and it’s status is “REINSTATEMENT”. CORNER FLAG, LLC has the Florida company number L16000080465 and the FeiEin number 81-2467827. It was incorporated 2 years ago on 25th April 2016. The most recent major event for the company was filed on 23rd January 2018.
    Is it a coincidence that it was incorporated 2 months after EHG acquired Roadtrek, and the status of “reinstatement” was done less than 2 months before EHG announced that they were looking for a buyer? Something isn’t right!

  • Wayne Lowe says:

    We think the Hymer receivership is a total fraud. Through their own incompetence ( meaning lack of layers of security on their own bank accounts ) their own executives allegedly stole millions out from under their noses.
    Europe got 1700 million in cash on Feb 1st , and rather than take responsibility for the fiasco they put the company in to receivership to avoid responsibility for their own oversight.
    This misguided tactic will need a class action lawsuit against
    both NA and Europe including damages to many Ontario companies who did nothing wrong
    It won’t take long either for a judge to make this right
    The day before closing another shady deal with Corner Flag is a feeble attempt at the old shell game
    Follow the money ! Why would these guys pay 5.09 million to get a spot on the Titanic
    Smells to high heaven !

  • Upset Former Employee says:

    Former employee’s need help for the mess these “extremely rich companies” and useless executives have caused. Many lives are in turmoil without anywhere to turn. To me it all smells like a conspiracy right from the time the Hymer Family bought what was the Roadtrek company in Kitchener. A conspiracy possibly to put the Roadtrek name under because when the company was well managed, there was nothing that could top the Roadtreks. Most of the employees are long time employees, who have put there blood sweat and tears into building beautiful and great quality vehicles. These people are the real victims who need help to make things right and have people investigated for all the shady wrong doing.

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