On The Block

Broder Bros. Co. hired Miller Buckfire & Co. LLC as financial adviser and Kirkland & Ellis LLP as special counsel to help with the company’s review of its strategic options. The Trevose, Pa.-based apparel distributor is reviewing alternatives for its long-term capital structure, specifically its 11.25 percent senior unsecured notes due October 15, 2010. Broder has eight distribution centers in the United States. In mid-December, the company cut its work force by about 140 positions. Broder started the staff cuts because it expected further weakening in the economy. Broder is part of Bain Capital’s portfolio.

Panacos Pharmaceuticals Inc

. has asked Oppenheimer & Co. to advise it on strategic alternatives as the developer of anti-viral therapies considers putting itself on the block or selling its HIV development programs. The Watertown, Mass.-based company is conserving capital. It has already closed its Gaithersburg., Md. office and cut its staff to four from 11. Graham Allaway, chief operating officer, a founder and one of the company’s lead scientists, was part of the reduction. President and CEO Alan Dunton said, “The goal is to maximize the likelihood that Panacos’ proprietary anti-viral programs, technology, and intellectual property will continue to be developed and commercialized, ultimately providing new treatment options for HIV patients.” Panacos also decided on Feb. 27 to delist its shares from Nasdaq.

Monaco Coach Corp. filed for Chapter 11 bankruptcy protection on March 5, three days after it terminated a majority of its staff. The maker of recreational vehicles plans to continue operating as with debtor-in-possession financing as it prepares for one or more transactions involving the sale of some or all its operations. Imperial Capital LLC is helping the Coburg, Ore.-based company get a deal done. Monaco Coach is in talks with lenders for two DIP financings to supplement working capital. The New York Stock Exchange suspended the trading of Monaco Coach’s stock on March 5, and the securities are now quoted on the Pink Sheets.

Select Comfort Corp. (Nasdaq: SCSS) said March 3 it intends to explore strategic and financing alternatives to enhance its financial flexibility. The mattress retailer has also postponed reporting its financial results for fiscal 2008. The Minneapolis-based company also amended a credit agreement that defers a reduction in its borrowing capacity to $85 million from $90 million to March 31 from March 1. The amendment also waives certain covenants until the end of this month.