Trimingham Brothers

Division: Phoenix Management Services, Phoenix Capital Resources


Trimingham Brothers was a $40 million retail store chain specializing in general merchandise and jewelry with multiple locations in Bermuda.


Trimingham Brothers had difficulty integrating the acquisition of its largest competitor. Spiraling freight costs, inadequate inventory management, and unsuccessful general merchandising and pricing policies added to the eroding margins. The Company’s communication with its bank had deteriorated as a result of insufficient management reporting systems, its inability to close its books for 7 months and the departure of its previous CFO.


Phoenix was engaged to develop a business assessment of the Company’s existing operations and to assist the company in developing and implementing a strategic plan to restore the Company to profitability. Phoenix acted in the role of Interim CFO and secured a new bank line of credit to consolidate debt under a single facility. Phoenix oversaw the implementation of a new computer system, maintained financial reporting, implemented a variety of cost-cutting measures (including a reduction of in bound freight charges by over $1 million annually), advised on store closings, and managed cash and bank relationships. Phoenix directed the implementation of a new inventory warehousing system that has accelerated the transfer of product to the stores and reduced shrinkage. Despite these efforts, the tourist trade was continuing to decline at a rate faster than Trimingham’s break even point could be lowered, and the Company continued to lose money, despite its more efficient operations. Phoenix spearheaded the orderly wind down of the business in order to maximize the recovery for creditors.