Solyndra wins approval of stipulation agreement on Calaveras claims

By Jim Witters

Wilmington, Del., Oct. 15 - Solyndra LLC has received court approval of a claim stipulation under which Calaveras, LLC has agreed to support the company's plan of reorganization, according to an Oct. 15 filing with the U.S. Bankruptcy Court for the District of Delaware.

As previously reported, Calaveras was the landlord of a property leased by Solyndra in Fremont, Calif.

Solyndra received court approval in April to reject the Calaveras lease, and Calaveras was allowed administrative claims and permitted to draw down on a $3 million irrevocable standby letter of credit.

According to a Sept. 20 motion, all of the parties' rights were reserved in connection with any general unsecured rejection damages claims that may be asserted by Calaveras.

Solyndra said Calaveras filed a $5.12 million general unsecured rejection damages claim on May 2 as well as an $8.12 million general unsecured rejection damages claim against the 360 Degree Solar Holdings, Inc. debtor.

The claim against Solyndra was calculated net of Calaveras' draw on the letter of credit, while the 360 Degree claim was calculated without application of the draw, the motion said.

Under the settlement, both claims are fully allowed as general unsecured claims.

Calaveras will have no other general unsecured claims against Solyndra or 360 Degree.

In addition, Calaveras will not object to and has agreed to support Solyndra's plan, provided that the plan is modified.

Under the proposed modification, if distributions out of a Solyndra settlement fund and trust avoidance claims to holders of Solyndra general unsecured claims exceed 3% of allowed Solyndra general unsecured claims, any allowed Solyndra general unsecured claims held by a holding company creditor will participate in any distributions from assets above 3% on an equal basis with the holders of allowed Solyndra general unsecured claims.

Calaveras also will not object to and has agreed to support any amendment to the plan or any new plan that does not change the treatment of its class-seven and class-eight claims and does not attempt to alter the stipulation.

Solyndra is a Fremont, Calif.-based manufacturer of cylindrical solar photovoltaic systems for large industrial and commercial rooftops. The company filed for bankruptcy on Sept. 6, 2011. Its Chapter 11 case number is 11-12799.

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