Computer Maker Hopes to Restructure Debt

Tandon Corp., an ailing personal-computer maker, said it’s calling a meeting of its creditors for late January in a bid to avoid a trip to bankruptcy court.

The Moorpark-based concern, which has suffered heavy losses and a cash drain this year, said it hopes to reach agreement with the creditors on restructuring its debt. Tandon said that if an agreement is made, “it may not need to file for a Chapter 11 reorganization” under the federal bankruptcy laws.

Under Chapter 11, a company keeps operating and is protected from creditors’ lawsuits while it works out a court-supervised plan to pay its bills.

As of Sept. 30, Tandon had $10.2 million in cash and equivalents on hand, down from $27.6 million only nine months earlier, and its current liabilities--bills the company typically must pay within 12 months--stood at $142.5 million.

In the first nine months of 1992, Tandon lost $42.3 million on sales of $249.5 million. The company also plans to curb most of its U.S. operations and focus on selling its machines in Europe, which already accounts for the bulk of its sales.