Exide files amended reorganization plan; noteholders to receive 1%

By Carlise Newman

Chicago, July 28 - Exide Technologies Inc. filed an amended reorganization plan to emerge from Chapter 11 bankruptcy protection - but noteholders will still receive a very small distribution.

Under the plan, holders of 10% senior note claims due 2005, which at March 31 totaled $300 million, will receive a 1.4% recovery under the reorganization plan, consisting of 0.8% of the reorganized company's stock plus, if the cash pool is greater than zero, a distribution of the cash pool claims determined based on all the claims.

Holders of the 2.9% convertible notes with clams of $322 million will receive nothing.

Pre-bankruptcy filing bank lenders with claims of $729 million will receive 72.0% recovery through issuance of preferred stock if they execute an amendment to the foreign credit agreement or 42.1% recovery if they do not - in which case their claims will be reinstated under the amended agreement. The preferred stock will, on conversion, represent 99.2% of the reorganized Exide's common stock.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.