Guaranty Financial eyes extension to explore 'critical issues'

By Caroline Salls

Pittsburgh, Dec. 3 - Guaranty Financial Corp. requested an extension to its exclusive periods to file a plan of reorganization and solicit votes on the plan, according to a Wednesday filing with the U.S. Bankruptcy Court for the Northern District of Texas.

The company wants to extend its exclusive plan-filing period to March 22 from Dec. 25 and the solicitation period to May 21 from Feb. 23.

Guaranty Financial said that since it filed for bankruptcy, it has been actively working with the Federal Deposit Insurance Corp. and Wilmington Trust Co. to resolve issues and complete an orderly wind-down of the company's business.

During this process, the company said it has identified two critical issues that require further exploration before a plan can be filed, including the appropriate division of assets of which both Guaranty Financial and the FDIC may assert ownership and an investigation of potential causes of action.

Guaranty Financial, a Dallas-based unitary thrift holding company, filed for bankruptcy on Aug. 27. Its Chapter 11 case number is 09-35582.

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