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The Great Train Store Derails
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  The Great Train Store Company, a Dallas-based national chain of train-themed toy, hobby and gift stores, announced that it yesterday filed a voluntary petition for protection and reorganization under Chapter 11 of the Bankruptcy Code in the United States Bankruptcy Court for the district of Delaware. The filing was necessitated by the Company's poor performance and the decision of the Company's principal lender not to advance funds at a level sufficient to satisfy the Company's working capital requirements. A Chapter 11 proceeding is rehabilitative in nature and designed to give a company reasonable time to reorganize its operations and finances while being afforded certain protection from creditors' activities.Under the Chapter 11 proceeding, the Company will continue to operate its business and manage its properties under court supervision as a debtor in possession. To facilitate the reorganization, the Company has obtained debtor in possession financing from its principal lender. With this financing, the Company anticipates it will be able to continue to receive merchandise in a timely manner, and expects to emerge from the reorganization as a stronger and more viable entity. As part of this restructuring, subject to the approval of the Court, the Company currently expects to close up to approximately eleven of its fifty-six stores. As these eleven stores are under-performing, their closing should provide additional liquidity that can be utilized by the Company during the restructuring. The Great Train Stores are owned and operated by The Great Store Partners, L.P., a wholly-owned subsidiary of The Great Train Store Company. The Great Train Store Company is a public company with its shares traded on the OTC Bulletin Board (GTRN). [Update 2/24/2000]
  
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