Lab owes $8 million to Md. National

November 29, 1990

PharmaKinetics Laboratories Inc. owes Maryland National Bank more than $8 million and the City of Baltimore $382,100 in property taxes, according to an attorney representing the company in proceedings in U.S. Bankruptcy Court in Baltimore.

The pharmaceuticals-testing and consulting company recently filed for Chapter 11 reorganization, which protects it from creditors while it works on restructuring its debt. The company has 120 days to file a reorganization plan.

The 14-year-old company, headquartered at 300 W. Fayette St., employs 125 people. In its bankruptcy petition, PharmaKinetics listed assets of $26.1 million and liabilities of $19.5 million.

PharmaKinetics largest secured creditor is Maryland National Bank, according to bankruptcy attorney Joel I. Sher. He said PharmaKinetics owes the bank $6.3 million because of an industrial revenue bond, $325,000 accrued from a revolving line of credit with the bank and $2 million in a term loan.

The city's Bureau of Treasury Management Collection Division is the largest unsecured creditor, Sher said.

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