CMP.WERNER@R20.UTEXAS.EDU (Werner Uhrig) (09/01/86)
[ from the Austin American Statesman, Thursday, August 28 1986 ] COMPUTER COMPANY TO CLOSE ========================= Mainstreet Computer Corp., an Austin mail-order company that sells IBM-compatible PCs, is going out of business. The young company, which stopped taking orders in mid-August, is voluntarily liquidating its assets under bank supervision, said president Philip Warren. Mainstreet has notified about 200 customers who have not received merchandise for their pre-paid orders or who are expecting refunds on returned equipment of its action. Warren said the company does not plan to file for bankruptcy and reorganize. Warren said he believes the firm will be able to reimburse its largest secured creditor - MBank-Austin - and pay the costs associated with closing the business, he said it is unlikely that other creditors, including customers, will be wait. He said the firm chose to liquidate its assets voluntarily, because that avenue provided the greatest financial return. Since the value of MainstreetUs assets is not expected to cover all its debits, creditors would have nothing to gain by forcing the firm into involuntary bankruptcy proceedings, he said. Mainstreet is owned by Gerald Wagner, founder and former chairman of Execucom Systems Corp., and Austin software firm. -------