Old Ladder case conversion motion withdrawn following plan confirmation

By Caroline Salls

Pittsburgh, Oct. 29 - Old Ladder Co. (DE), Inc.'s official committee of unsecured creditors withdrew its motion to convert the company's Chapter 11 bankruptcy case to Chapter 7 for liquidation, according to a Monday filing with the U.S. Bankruptcy Court for the District of Delaware.

As previously reported, Old Ladder's Chapter 11 plan of liquidation was confirmed on Oct. 25.

According to the case conversion motion filed on July 18, the company's plan was based on the assumption that its only administrative expenses would be its wind-down expenses and that there were no pre-sale administrative or priority claims remaining.

The committee said both assumptions turned out to be wrong, and it did not believe that the company's wind-down budget would be sufficient to pay for its wind-down expenses.

At the time, the committee said it did not believe the plan would be able to be confirmed in a reasonable time period.

Old Ladder, formerly Werner Holding Co. (DE), Inc., a Greenville, Pa., manufacturer and distributor of ladders, climbing equipment and ladder accessories, filed for bankruptcy on June 12, 2006. Its Chapter 11 case number is 06-10578.

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