Kadey-Krogen Files for Bankruptcy Liquidation, American Tugs Too.

Revenue Declines Dramatically Over Past Three Years

Peter Swanson Jul 8

READ IN APP

Kadey-Krogen this week ended its 49-year run as one of America’s finest producers of full-displacement trawler yachts after filing for Chapter 7 liquidation in Deleware’s federal bankrupcy court. Nearly 700 Krogens have been built, but apparently only two were “in the pipeline” when the company called it quits Monday.

Kadey-Krogen’s fall has taken the American Tug brand down with it. Kadey-Krogen acquired the LaConner, Washington-based builder of semi-displacement trawlers in May 2023.

Unlike Chapter 11 bankrupcy, in which a company may continue to operate, a business that has filed under Chapter 7 ceases to exist and its assets are sold off to pay creditors. Documents on file with the court indicate that Kadey-Krogen’s secured and unsecured claims total $2.2 million. Nearly 100 creditors are listed.

Tucker West of Portsmouth, Rhode Island, signed the papers. He was president and CEO.

Share

Back in 1977, marine engineer Art Kadey and naval architect Jim Krogen teamed up to create a vessel that combined the seakeeping of a fishing trawler with the yacht comfort and yacht ascetics. They were built at the Asia Harbor Yacht Builders yard in Kaohsiung, Taiwan.

Krogens, as they are often called in conversation, are the yin to the yang of Nordhavn within trawler-yacht world. Nordhavn boats, made by Pacific Asian Enterprises, are generally considered the more capable bluewater performer. Krogens, though, are prettier.

Trawlers, like other niche boating markets, experienced an “Covid bump” beginning a half decade ago. That is, a historic surge in sales, as affluent folks put money into outdoor lifestyles with built-in social distancing. That phenomenon has run its course, as Krogen sales revenue may reflect.

The company’s 2026 drop in gross revenue was precipious. According to the banruptcy filing, gross revenue was around $14.9 million in 2024 and $10.1 million in 2025. As of the end of June, 2026 revenue was just $403,962.

The documents mentioned two current boat orders. One was said to be 95 percent complete in Taiwan and 95 percent paid for. The other was listed as zero percent complete. There was no reference to whether a downpayment had been collected for the latter.