Solutia equity committee wins delay to disclosure statement hearing

New York, April 21 - Solutia Inc.'s official committee of equity security holders won a delay in the hearing to approve the company's disclosure statement - although they were only given just over a month, less than the 120 days requested, according to a filing Friday with the U.S. Bankruptcy Court for the Southern District of New York.

The disclosure statement hearing will now be held on June 7 instead of May 1.

In addition, the court ordered the various parties involved in drawing up the plan of reorganization to show the information used to generate the disclosure statement to the equity committee by May 12.

The equity committee had asked for the hearing to be postponed so that it could conduct discovery on the global settlement proposed in the plan.

In its request, the equity committee said it has reviewed the disclosure statement and made a preliminary objection on the grounds that it does not contain adequate information for voters.

However, the committee said discovery is needed on the global settlement embodied in the plan before a formal objection can be formulated.

Solutia, a St. Louis-based manufacturer and provider of performance films, specialty chemicals and an integrated family of nylon products, filed for bankruptcy on Dec. 17, 2003. Its Chapter 11 case number is 03-17949.

© 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.