US-based long-range cruising yacht builder Kadey-Krogen Yachts has filed for bankruptcy, bringing new production to an end after almost five decades in business.
The Portsmouth, Rhode Island-based company filed a voluntary Chapter 7 petition on 6 July 2026 in the US Bankruptcy Court for the District of Delaware under case number 26-11065-BLS. Parent company KKY Holdings LLC and sister company American Tugs LLC, which Kadey-Krogen acquired in May 2023, filed separate Chapter 7 petitions on the same day.
Court records show the three companies approved the filings through a joint written consent dated 2 July 2026 after reviewing their financial position with legal and financial advisers. Jock Tucker West, president and chief executive, was authorised to execute the bankruptcy petitions and related court documents on behalf of all three businesses.
Chapter 7 places a company’s assets into liquidation under court supervision, with a trustee responsible for selling them to repay creditors. Kadey-Krogen estimated both its assets and liabilities at between $1m and $10m. While the petition estimated between 50 and 99 creditors, court documents identify more than 100, including boatbuilders, suppliers, marinas, law firms and lenders.
Downturn evident in trading records
Gross revenue had fallen from about $14.96m in 2024 to roughly $10.11m in 2025. By the filing date in 2026, revenue for the year stood at just $403,962.
Kadey-Krogen reported total assets of about $2.26m against liabilities of approximately $2.48m. Listed assets include $772,687 in moulds and equipment, $905,110 in goodwill linked to the original Kadey-Krogen acquisition, and two money judgments against Martek of Palm Beach worth about $481,000. The company also reported no cash on hand and a zero balance in its bank account.
Among the unsecured claims are approximately $1.53m owed to Taiwan-based Asia Harbor Yacht Builders Co., which built Kadey-Krogen models. Other debts include $50,000 to Hinckley Co. and $36,412.83 to Multi-Tech Marine Services.
The court papers also reveal customer contracts covering boats at several stages of production, including vessels under construction, completed yachts awaiting shipment from Taiwan and one hull that had not yet been laid. Existing owners keep their boats, but factory warranty support, spare parts and after-sales service are now uncertain. Customers waiting for delivery will instead become creditors in the bankruptcy proceedings.
The filings also disclose about $166,227 in guaranteed payments to West during the previous year, together with earlier reimbursements, and payments totalling $115,000 to investor entities 2820 Partners LP and 323 W Investments LLC.
The company, founded in 1977 by marine engineer Art Kadey and naval architect Jim Krogen, built its reputation on full-displacement trawler yachts designed for offshore passages, coastal cruising and extended liveaboard use. The Krogen 42 was its most successful design, with 206 examples produced over a 22-year run. In total, the company built nearly 700 yachts.
Construction was carried out by Asia Harbor in Taiwan, while Kadey-Krogen handled design, sales and customer support from the United States. Ownership changed in 2006 before a recapitalisation in 2021 brought in new investment under West’s leadership. The company operated from headquarters in Stuart, Florida, with additional offices in Portsmouth, Rhode Island, Annapolis and Seattle.
At the time the bankruptcy filings became public, the company had not issued a statement. Its website remains live, with no updates to customers made so far.
The news comes the same week that US boating and fishing retailer West Marine confirmed it will press ahead with a financial restructuring after receiving no qualified offers for its assets.
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