Solar Trust: Chapter 11 plan of liquidation effective date on March 28

By Jim Witters

Wilmington, Del., March 28 - Solar Trust of America, LLC's amended Chapter 11 plan of liquidation became effective on March 28, according to a filing with the U.S. Bankruptcy Court for the District of Delaware.

As previously reported, the court confirmed the plan on March 7.

Creditor treatment

Treatment of creditors under the confirmed amended plan includes:

• Holders of administrative claims, priority non-tax claims and priority tax claims will be paid in full in cash;

• Miscellaneous secured claims will either be reinstated, holders will be paid in full in cash, or holders will receive the assets securing the claim;

• The holder of the Chevron administrative claim will receive two $500,000 cash payments. If the second payment is not made by the six-month anniversary of the plan effective date, that payment will be increased to $750,000;

• Holders of unsecured claims will receive a share of general unsecured distributions as well as a share of an unsecured claim distribution;

• Holders of Solar Millennium AG claims will receive an unsecured claim of $100 million;

• Holders of subordinated claims and equity interests are expected to receive no recovery but would receive a share of any surplus funds remaining in the liquidation trust after other claims are paid in full; and

• Holders of interdebtor claims will receive no distribution.

Solar Trust, an Oakland, Calif.-based unit of solar company Solar Millennium AG, filed bankruptcy on April 2. Its Chapter 11 case number is 12-11136.

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