Hey Jeff,
Yeah, I saw that. Truly a shocker.
Honestly, though, Hobbico had a knack for buying up companies and killing them, so I can see how their debts are that high (and wow, that's a LOT of debt!). There are a lot of cheap hobby products out there, from a multitude of outlets being offered over the past decade. That couldn't have helped them at all. But, I'm a computer dork, not a business man, so best of luck to their many employees. Hopefully they can find a buyer soon.
-Joey