Because all unsecured creditor
claims will not be satisfied in full, the pre-petition equity holders' interests in Northwest's common and preferred stock will be cancelled, and those holders will not receive a distribution.
Topics covered include: derivatives in restructuring transactions, limiting the priority for taxes in insolvency to enhance unsecured creditor
recoveries, and practical advice for cross-border practitioners with regards to the prior recognition requirement of Chapter 15.
Alternatively, if the plan is not approved by the various unsecured creditor
classes, such claims will be satisfied from 100% of the new Jamesway shares.
A reduction in trade credit to Lear from its suppliers could accelerate any bankruptcy, and could result in a high level of trade creditor claims being added to general unsecured creditor
NEW YORK -- National Team to Continue Expansion of A&M's Advisory Services to Secured and Unsecured Creditor
NASDAQ: STUSQ) announced that the company made its final cash payment to unsecured creditors
by depositing today $5 million in an unsecured creditor
's fund established under the company's plan of reorganization adopted in connection with the company's emergence from chapter 11 bankruptcy proceedings in October 1992.
In the alternative, an unsecured creditor
may select a note in an amount equal to 80 percent of its allowed unsecured claim plus its proportionate share of 35 percent of the common stock of the reorganized company.
Wilmington Trust Company, which is the principal subsidiary of Wilmington Trust Corporation (NYSE:WL), is not, itself, the unsecured creditor
Because not all unsecured creditor
claims will be satisfied in full, the pre-petition equity holders' interests in Northwest's common and preferred stock will be cancelled, and those holders will not receive a distribution.
The largest unsecured creditor
is reportedly Pension Benefit Guaranty Corp.
If the court invokes the fraudulent conveyance provision, it could invalidate the liens the lender holds, thus making it an unsecured creditor
Under the plan, the overwhelming majority of Eastern's general unsecured creditors
(over 70,000) will receive an 11 cent per dollar cash distribution during the first quarter of 1995.