California-based Yihe Corp., which made its name selling Alaska salmon and was featured prominently in the 2012 SeaFood Business magazine’s Top 25 list, is now in receivership with one of its creditors.
Central District Federal Court in California placed Yihe into receivership on Sept. 5, and appointed consultant James Wong the company’s interim CFO to resolve a dispute between Yihe and creditor Resource One, Wong told SeafoodSource.
When asked about the company’s previous CFO, Wong said, “My understanding (is), there was never a CFO here.”
Wong also confirmed that Dennis Morgan, the company’s EVP of U.S. operations, was no longer with the company, but he declined to disclose details. Wong said Stephen Chen remains the company’s owner, and is based in China. The receivership only applies to Yihe’s U.S. operations, and does not involve any subsidiaries overseas, Wong said.
Wong said he was in charge of managing the Pasadena, Calif.-based company until it could pay down its creditors, including Resource One. Despite the receivership, Wong said the company continues to operate, including securing letters of credit for purchasing product, which he said remains in high demand.
“We’re still making strong sales,” he said. “I’ve got financing in place, (and) we’re seeking additional financing.”
Yihe ranked No. 10 on the magazine's annual Top 25 list, with annual sales listed at USD 500 million.
