Creative Memories Seeks Court Permission For Close Outs, Program Modifications

Creative Memories is petitioning the court supervising its bankruptcy proceedings for permission to hold a large sale closing out product lines, as well as for permission to modify certain company programs, including the host rewards program, the rewards club, and gift certificates.

Creative Memories says that it intends to exit bankruptcy as a “smaller, more nimble company.” Numerous court filings seem to indicate the company intends to focus on simpler memory keeping options than their current product line, and also more on digital.

In the motion filed on June 12th, the company notified the court of its intentions to hold two sales: While Supplies Last and Last Chance Orders. Both of these close-outs will be for products which will not be part of the company’s future product line, but they will be handled in different ways.

The “While Supplies Last” sale will be a close-out of products done by selling only the company’s existing inventory on hand of those items. Since the company’s inventory is finite, the “while supplies last” sale is essentially already underway on those items, although the list of specific items has not been announced.

The company plans to make “Last Chance Orders” available for some items from July 8th through July 31st. Intent according to court documents is that all orders placed for these items during that time frame will be fulfilled, even if the company has to manufacture additional inventory to do so.

It does not appear that the company intends to offer discount pricing on any items as part of the close outs.

Creative Memories is also requesting of the court permission to modify their current rewards programs. They plan to discontinue the current Host Rewards program after June 3oth, although the court filing indicates the company’s intent to launch a new program as part of the company’s overhaul.

The Rewards Club is also up for modification. The company has already stopped accepting new memberships and renewals (which cost $39/year), and is proposing ending the club entirely on August 21st. All club member credits would have to be used by that date, and membership fees will be refunded on a pro-rated basis for unused time in the form of club credits to be used before the termination date.

Gift certificates are also affected by the June 14th motion if it is approved by the bankruptcy court. Creative Memories is requesting to have all outstanding gift certificates terminate if they are not used by August 21st. As the company terms it in the motion, gift certificates and club credits will be “use them or lose them” if the motion is approved. According to the motion, the company has about $12,000 in outstanding gift certificates that will be affected by the court’s ruling.

The U.S. Bankruptcy Court District of Minnesota is scheduled to hold a hearing on Creative Memories’ motion at 2:00 p.m. on June 26, 2013, in Courtroom No. 2B, United States Courthouse, 316 North Robert Street, St. Paul, Minnesota. The deadline for responses to the motion to be filed with the court is on June 21st. If no responses are filed, the court may approve the motion after that date without proceeding to the hearing.

15 Responses to Creative Memories Seeks Court Permission For Close Outs, Program Modifications

  1. Linda Korte June 18, 2013 at 8:00 am #

    Great news for CM lovers. Get your albums, pages, protectors, etc in July. I am thrilled that they plan to keep digital. Love StoryBook and Memory Manager.

  2. Kaye Jones June 18, 2013 at 8:20 am #

    I am sorry to say it isn’t good news for me as a CM lover. I will miss the ability to “craft” my own pages and have the high quality pages and page protectors available for my use!

    • Jill K June 18, 2013 at 12:54 pm #

      I’m so sorry to see CM in this situation. If you are looking to continue traditional scrapbooking, check out Close to My Heart.

      • Julie B June 18, 2013 at 9:51 pm #

        As a former CMC, I am sadden to hear this as this company was solely founded on the strap-hinged albums and pages. I also love CTMH products as well, but not with their post-bond albums.

  3. Carol Wattsw June 18, 2013 at 10:25 am #

    I love digital, and enjoy creating pages in this manor. The loss of coversets, pages and protectors however is very bad news. They have been the heart and soul of Creative Memories, and make the business the best out there.

  4. linda June 21, 2013 at 1:26 pm #

    interesting read. Thanks for the update.

  5. Dabs June 21, 2013 at 10:10 pm #

    I’m devastated by this news! They are the ONLY scrapbooks I have used for 17 years. I have two friends that scrap with me too and this is all they use! I’m just sick about it!

    • Julie June 22, 2013 at 5:41 pm #

      I am right there with you, Dabs. Sick. They are the only books I’ve used for that long too and the ones I have embossed on my shelves that I’m going to have to buy pages and protectors for in a month’s time…well, that’s going to cost me a small fortune.

  6. Pat June 22, 2013 at 9:17 pm #

    I am sorry to see this happen – always liked their albums and pages, they will be missed.

  7. Gab June 23, 2013 at 11:28 pm #

    Very sad for all those CM fans

  8. MB June 24, 2013 at 4:45 pm #

    I read today that CM will no longer digital scrapbooking. Very disappointed. Quite a few people have invested a great deal of money only to be left high and dry.

  9. Katie June 27, 2013 at 8:01 pm #

    I am a CM rep and they are not completely leaving traditional or digital. They are changing what they are offering, but it is all very exciting and will make everything more accessible for the current customers as well as help other people discover the art of scrapbooking. There are still some unknowns, but I for one am still here to help people preserve their photos and stories. I think everyone will be surprised with the improved offerings come August and there will still be something for all types of scrapbookers. Anyone is welcome to contact me and I’d be happy to help answer questions as we move through the process. CM is not gone, so don’t worry! 🙂

    • Kirk P Mansfield October 6, 2013 at 6:43 pm #

      After my parents passed away I did not know what to do with the family photos. A friend told me of CM, so I purchased basic black cover-sets and white pages and I started a photo journal project that tells the story of my family in chronological order (a little a.d.d, but people love it so far!). Now after I have spent so much money and time creating these books, there is a chance I cannot finish this project??

  10. Carol July 10, 2013 at 4:12 am #

    I am also a Creative Memories Consultant. CM has said that they will no longer be selling Memory Manager & Storybook Creater, both of which I love, but it doesn’t mean that we still can’t use them. Of course, they can’t say anything without permission of the bankruptcy court. But they are working extremely hard & seem to be finding a way so we can continue printing. Of course, for 12×12 pages, you can always print those pages at Costco (which seems to use the same paper as CM). I’ve seen various other solutions on FB, etc. I’m waiting to see what CM announces but do believe there will be other printing options. A company called Panstoria owns the rights to MM & SB. CM knows that Digital is important & are working on a more simple platform.

    Also, CM will still be producing albums-they will just be more simple & easier for people to complete. Like everyone here, I’m dying to find out about Digital & to see what the new products will be.

  11. Michelle July 29, 2013 at 6:43 pm #

    Waiting to hear. I took the spring and summer off. Hoping that it will be good news. But also hoping they will not revert back to the older version of CM. They waited so long to do too many things in this business. But I know many people who cannot live without their scrapbooks and pages!

Let us know your thoughts!

This site uses Akismet to reduce spam. Learn how your comment data is processed.