Latest news with #TotallyCool
Miami Herald
07-04-2025
- Business
- Miami Herald
Defunct iconic ice cream brand sells its assets in bankruptcy
The ice cream retail and restaurant sectors have faced several setbacks that led to bankruptcy filings since the Covid-19 pandemic. The most significant bankruptcy in the ice cream industry that was caused by the pandemic was Friendly's Restaurants' bankruptcy filing in November 2020. Don't miss the move: Subscribe to TheStreet's free daily newsletter The restaurant chain, which is known for its ice cream desserts, sandwiches and burgers, said it faced a catastrophic impact from the Covid-19 pandemic, which cause a decline in revenue as dine-in operations ceased for months and re-opened with limited capacity. Related: Another huge home improvement company files Chapter 11 bankruptcy The owner FIC Restaurants sold its assets to Amici Partners Group LLC in a bankruptcy sale in January 2021. Financial distress also led Midwest ice cream retailer Oberweis Ice Cream and Dairy's to filed for Chapter 11 protection on April 12, 2024, to reorganize its business. Oberweis sold its assets to Hoffmann Family of Companies on June 17, 2024, and exited bankruptcy. The company, which opened its first ice cream shop in 1951, operated 43 Oberweis Ice Cream and Dairy retail locations in Illinois, Indiana, Michigan, and Missouri when it filed for bankruptcy. Oberweis, which was founded in 1927, was a throwback to the heyday of dairies as it still sold its milk in glass bottles and offered home delivery of its dairy defunct ice cream manufacturer Totally Cool Inc., which made products for Friendly's, Hershey's Ice Cream, Abilyn's Frozen Bakery, Jeni's, and ChipWich, has sold its assets for $650,000 through bankruptcy, Baltimore Business Journal reported. Related: Huge auto parts brand files for bankruptcy liquidation Totally Cool filed for Chapter 11 bankruptcy protection on Aug. 23, 2024, after halting production and distribution and recalling all of its ice cream products two months earlier for potential Listeria monocytogenes contamination. More bankruptcies: Popular restaurant and bar chain files for Chapter 11 bankruptcyPopular athletic shoe chain files for Chapter 11 bankruptcyAward-winning cosmetics brand files for Chapter 11 bankruptcy The Owings Mills, Md., debtor filed its petition in the U.S. Bankruptcy Court for the District of Maryland, listing $2 million in assets and $1.4 million in debts, according to its petition. The company in March 2025 reached an agreement to sell its assets to a company called Chill Ice Cream Solutions, the Baltimore Sun reported. The U.S. Food and Drug Administration in June 2024 found listeria in Totally Cool products, forcing the closure of the company's facilities and a layoff of 68 employees. Totally Cool shut down production and recalled 69 ice cream products across 13 brands after a Food & Drug Administration sampling discovered the presence of Listeria monocytogenes. The company investigated the contamination and took preventative actions, according to a June 24 company statement. The products subject to recall were distributed nationwide and available in retail locations and direct delivery. No illnesses had been reported as of the statement. Listeria monocytogenes is an organism that can cause serious and sometimes fatal infections in young children, frail or elderly people, and others with weakened immune systems. Healthy individuals may suffer only short-term symptoms, such as high fever, severe headache, stiffness, nausea, abdominal pain, and diarrhea, however, Listeria infection can cause miscarriage and stillbirths among pregnant women. The FDA obtained a permanent injunction in March 2025 in the U.S. District Court for the District of Maryland, prohibiting Totally Cool and its CEO Michael J. Uhlfelder from directly or indirectly receiving, preparing, processing, packing, holding, and/or distributing any article of food unless and until it meets certain requirements, Food Safety News reported. The company subsequently reached a settlement with the FDA in March that calls for the company to discontinue all operations related to food processing and preparation. Related: Popular whiskey brand files for Chapter 11 bankruptcy The Arena Media Brands, LLC THESTREET is a registered trademark of TheStreet, Inc.
CBS News
24-03-2025
- Health
- CBS News
Maryland-based ice cream company prohibited from selling adulterated products after listeria found
A Maryland-based ice cream company has been permanently prohibited from manufacturing and distributing adulterated food products after a 2024 U.S. Food and Drug Administration (FDA) inspection found listeria at its facility, according to the Department of Justice. The decision by a federal court came after a civil complaint filed in early March alleged that Totally Cool Inc. and its president, CEO and owner, Michael Uhlfelder, violated the Federal Food, Drug and Cosmetics Act (FDCA) by selling adulterated ice cream products. Food products are described as adulterated when they fail to meet standards set by the FDA. Adulteration is a criminal offense in the U.S. According to the Department of Justice (DOJ), Totally Cool's ice cream products were sold under the names Friendly's, Abilyn's, Hershey's Creamery Corporation, Schwan's/Yelloh!, Jeni's, Cumberland Farms, and ChipWich. During a routine inspection of the Totally Cool facility in Owings Mills in 2024, the FDA identified listeria and found various unsanitary conditions on multiple food-contact surfaces, according to the civil complaint. The DOJ said the strain of bacteria found during the inspection appeared to have been present in the facility since at least 2017. The bacteria matched samples of Listeria monocytogenes (L. mono) known to be capable of affecting the health of humans. Listeria can cause serious and sometimes fatal infections in those with weakened immune systems, like young children or elderly people, according to the FDA. After the inspection, Totally Cool recalled more than 60 products due to the risk of contamination. No illnesses were reported in connection to the recall, CBS News reported. According to our partners at the Baltimore Banner , Totally Cool laid off 68 of its 71 employees after the recall was announced. In July 2024, the FDA suspended the company's food facility registration and the company has since moved forward with bankruptcy proceedings, according to the DOJ. The DOJ said Totally Cool agreed to settle the lawsuit. As part of the settlement, the company said it discontinued all operations related to food processing and preparation. Under the settlement agreement, the company is required to notify the FDA before resuming manufacturing operations and comply with specific measures. The agreement does not determine liability.
