Education Resources, creditors granted one-month exclusivity extension

By Jennifer Lanning Drey

Portland, Ore., May 19 - Education Resources Institute Inc. and its official committee of unsecured creditors obtained a one-month extension to their exclusive periods to file a plan of reorganization and solicit votes on the plan, according to a Tuesday filing with the U.S. Bankruptcy Court for the District of Massachusetts.

TERI and the committee each currently have the right to file a plan of reorganization if the other party consents to the filing in writing.

The exclusive plan-filing period was extended to June 22 from May 22 and the solicitation period to Aug. 21 from July 21.

When requesting the extension, TERI and the committee said they had hoped to be further along in the plan process by now, but "the valuation of claims proved to be an arduous and more time-consuming task than the parties originally expected."

The company and the committee said they have finalized a plan term sheet and hope they will be able to file a joint plan by June 22.

TERI, a Boston non-profit access-to-education promoter, filed for bankruptcy on April 7, 2008. Its Chapter 11 case number is 08-12540.

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