Changes Could be Coming to Your Favorite Ice Cream Brand Amid Bankruptcy News

Ice cream fans are going to be sad about the latest news from Totally Cool , an ice cream manufacturer who makes some fan-favorite treats. The company recently filed for Chapter 11 bankruptcy after a major recall led to financial damages.

Totally Cool Inc., which manufactured ice cream for big brands including Friendly's, Taharka Brothers, Hershey's Ice Cream, Dolcezza, Abilyn's Frozen Bakery, Jeni's and ChipWich , filed for Chapter 11 bankruptcy protection on August 23. If you love any of those ice cream brands, you may be in for a surprise the next time you go to buy your favorite product.

The bankruptcy filing comes after the company was forced to halt production and distribution due to a recall of all of its ice cream products on June 21 because of a potential Listeria monocytogenes contamination.

Totally Cool Inc. filed its petition in the U.S. Bankruptcy Court for the District of Maryland listing $1 million to $10 million in liabilities and $500,000 to $1 million in assets, according to the Baltimore Sun .

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The FDA detected listeria around one of the company’s production lines during an unannounced inspection in late May and then directed Totally Cool Inc. to shut down all of its product lines a month later. The ice cream manufacturer was forced to lay off 68 of its 71 employees and the company lost "all revenue streams,” according to the bankruptcy filing.

There were no confirmed illnesses from the recalled ice cream, which included more than 60 products. The recalled products were distributed nationwide and available in retail locations and for direct delivery. Consumers who purchased the recalled products were urged to return them to the place of purchase for a full refund.

Filing for Chapter 11 bankruptcy allows a business to reorganize its debts while still operating, but Totally Cool has not reopened since it ceased operations in June. According to the bankruptcy petition, Totally Cool Inc. CEO Michael J. Uhlfelder is allowed to pursue the sale of “some or all of” the company’s assets.

As of now, there's been no announcement about which company or companies will produce the ice creams for the brands listed above, which means that production on some products and flavors could be slowed or halted completely until a new full-time manufacturer is chosen or Totally Cool is operational again.

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