Hayes Lemmerz asks court to confirm waiver of plan confirmation stay

By Caroline Salls

Pittsburgh, Dec. 9 - Hayes Lemmerz International, Inc. asked the U.S. Bankruptcy Court for the District of Delaware to confirm that the stay period associated with confirmation of its plan of reorganization has been waived, according to a Wednesday court filing.

If the stay has not been previously waived, the company asked the court to waive it now.

According to the motion, the plan confirmation order included provisions that were intended to waive the 14-day confirmation order stay imposed under Bankruptcy Rule 3020(e).

Hayes Lemmerz said it is on the verge of filing the final form of its credit agreement, as required by the plan confirmation order, and expect to be able to close on the exit facility and consummate the plan a few days after that.

However, if the stay is still in effect, the company said its plan may not take effect until late December or early January, "which could have material negative consequences to the debtors and potentially jeopardize the debtors' ability to consummate their exit financing and plan."

Hayes Lemmerz is a Northville, Mich., maker of automotive and commercial highway wheels. It filed for Chapter 11 on May 12, 2009. Its case number is 09-11655.

© 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.