VarTec granted second extension to exclusive periods

By Caroline Salls

Pittsburgh, May 27 - VarTec Telecom, Inc. obtained its second extension to its exclusive periods to file a plan of reorganization and to solicit votes on the plan, according to a Friday filing with the U.S. Bankruptcy Court for the Northern District of Texas.

The company's exclusive period to file a plan was extended to a June 17 final hearing date from June 1.

At that final hearing, the court said it will extend the company's exclusive period to file a plan to Aug. 1 and to solicit votes to Oct. 1 from Aug. 1.

Since the first extension VarTec was granted, the company said it has been working on liquidating non-core assets, reducing overhead, addressing employee retention issues, negotiating a global settlement with the official committee of excel independent representatives and the official committee of unsecured creditors, formulating alternative business plans and beginning marketing for the potential assets sale.

The company said it has therefore not been able to focus on development of the plan and disclosure statement but will be able to do so after finalizing the settlement and making progress on the asset sale.

Dallas-based VarTec filed for bankruptcy on Nov. 1, 2004. Its Chapter 11 case number is 04-81694.

© 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.