This browser does not support the Video element.
Minnesota Rusco closes without warning
A local business that has operated in Minnesota since 1955 closed its doors without warning. FOX 9's Karen Scullin has the full report.
MINNEAPOLIS (FOX 9) - Minnesota Rusco, a company known for its jingle, has unexpectedly closed its doors, leaving many customers and employees in a difficult situation.
FOX 9 and customers have been unable to reach anyone at the company on Wednesday.
Unfinished projects and financial loss
This browser does not support the Video element.
Minnesota Rusco closes, leaving employees & customers hanging
Twin Cities remodeling company Minnesota Rusco is apparently out of business, with management letting employees go Wednesday without notice and leaving customers on current projects hanging. FOX 9's Karen Scullin has the story.
What we know:
Kari and Jeremy Frahm were expecting window installations, but found themselves out nearly $48,000 when the company closed without notice. They discovered the situation through a Google search after their installers failed to show up.
"We are out under just $48,000. So for us, I mean, we're not struggling by any means, but it took us several years to save that up becauseit's a big chunk to be gone, yeah, with no return," said the Frahms.
The closure has left many projects unfinished, contractors unpaid and employees searching for new jobs. Rusco salespeople are reaching out to TWS Remodeling for guidance and support.
TWS Remodeling offers assistance
What they're saying:
TWS Remodeling is stepping into help affected customers.
"If you bring me a contract or you put a down payment down, I'm gonna take 50% off of the contract you did with them. We're gonna do that as goodwill. I'm hoping to break even. But at the same time, we needed to restore the faith in the contractors of the community," said a representative from TWS Remodeling.
The company is also addressing a $15 million backlog of unfinished projects.
"I’ve been in construction since I was a child. My dad taught me this. That's all I really know. It's important to me. My community is important to me and I think that who cares? It really it's not about money right now. It's about taking care of people that are, you know, maybe a little less fortunate than the rest, save their pennies for this project. We need to step up as a community and help them out," said the representative.
Dig deeper:
Minnesota Rusco is owned by parent company Renovo out of Dallas, Texas. They own many similar companies across the country, and it appears six of them have closed.
What we don’t know: Details about the bankruptcy proceedings and how customers can recover their funds are still unclear.