Longtime business Minnesota Rusco announces it has "ceased all operations"
Home improvement company Minnesota Rusco abruptly closed after 70 years in business.
A post on Rusco's website says they have ceased all operations.
"We would like to wish our staff and their families the best as they navigate these difficult times and thank all of Minnesota for their 70 years of support and trust," the post reads.
The company, founded in 1955, was sold by its former Minnesota owners to Texas-based Renovo Home Services, which bought half a dozen other home improvement shops that are now all closed.
Dianna and Jay Deems, who used to own Minnesota Rusco, say no one in Minnesota knew anything about the closure until it happened. They say they are "sickened by what happened" and that they are "going through a mess here."
According to Deems, BlackRock, a New York investment bank, took control of Renovo last year. The bank told Minnesota Rusco managers Tuesday that Renovo would file for bankruptcy.
Leonard Krause, from Maplewood, just put down a big deposit with Minnesota Rusco for a new bathroom.
"Nobody reached out at all. I was just left high and dry," said Krause. "$11,600 was half what the remodel cost and I have no idea where that is. I bet I've left at least 50 messages on five different phone numbers."
Krause said he filed a complaint with the attorney general's office. He also plans to submit a claim to the state's contractor recovery fund.
"The frustrating part is they just didn't let me know anything. They cashed that check seven days before they closed," Krause said.
Despite no longer having an ownership stake, the Deems told WCCO that "our hope and desire is everyone is made whole."
WCCO reached out to BlackRock asking about severance for employees and compensation for customers. A spokesman for the asset management firm said that "we do not have a comment."