Delphi amends accommodation agreement; plan term sheet now due May 21

By Caroline Salls

Pittsburgh, May 6 - Delphi Corp. requested court approval of an amendment to its accommodation agreement that will give the company more time to deliver a plan of reorganization term sheet to its debtor-in-possession facility lenders, according to a Wednesday filing with the U.S. Bankruptcy Court for the Southern District of New York.

Specifically, the amendment gives Delphi until May 21 to file a term sheet, extended from May 4.

The amendment will terminate on May 12 if the bankruptcy court has not approved it on an interim basis or the company has not applied $45 million from incremental borrowing base cash collateral accounts to repay the tranche A and tranche B DIP loans by that deadline.

In addition, the amendment will terminate on May 23 if the court has not granted final approval of the changes or the company has not paid related fees and expenses.

Delphi will pay a 20 basis point amendment fee.

The final hearing is scheduled for May 21.

Delphi, a Troy, Mich.-based automotive electronics manufacturer, filed for bankruptcy on Oct. 8, 2005. Its Chapter 11 case number is 05-44481.

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