Orange 21 (Spy Optic) has been through a lot. The recession and resulting economic conditions were enough, I’m sure we’d all agree, for any company to deal with. But since CEO Stone Douglass came in, they’ve also settled a dispute with former CEO Mark Simo and No Fear, done a rights offering (they raise about $2.5 million net), replaced their bank line with an asset based line of credit, dealt with a bunch of bad inventory, rationalized and restructured their factory in Italy, borrowed $3 million from Costa Brava, which is owned by its largest shareholder, and cut expenses including ten percent pay cuts for employees, which are still in effect.
They’ve also negotiated deals with O’Neill, Jimmy Buffett and his Margaritaville brand and, recently, Mary J. Blige to design, manufacture and market sun glass lines under their names. If those lines are successful, it will give them volume and help utilize their factory’s capacity.