There could be no windfall to a preference recipient where the payment received in reduction of the new value was itself an avoidable preference that had to be repaid to the trustee or debtor-in-possession
The interim DIP approved as part of the first day motions represents the first portion of the fully-committed, USD950m debtor-in-possession
credit facility that it obtained from Citigroup to enhance liquidity and working capital.
* This Plan is usually developed by the debtor-in-possession
in conjunction with its pre-petition secured and unsecured creditors, and in consultation with the official unsecured creditors' committee.
GE Capital, Restructuring Finance has provided a USD505m debtor-in-possession
(DIP) credit facility to Borders Group Inc, a specialty book retailer.
The prospect of having to disgorge their hard gotten gains to a bankruptcy trustee or debtor-in-possession
, after having written off their substantial claims against the debtor, is, to put it bluntly, ONE HECK OF A BUMMER!
NewCare has obtained debtor-in-possession
financing, which Lenox believes is sufficient to meet NewCare's payroll and vendor obligations.
29, 1997, will receive debtor-in-possession
financing from its existing working capital lender, Congress Financial Corp., on the same terms as its current revolving credit facility.
United Airlines has received approval from a federal bankruptcy judge for boosting its debtor-in-possession
financing and to extend the maturity date of the loan to 30 December with an option to extend it to 31 March 2006.
In order to protect a pre-petition settlement agreement from a post-petition preferential attack, the parties to the settlement agreement may structure the agreement in such a way as would make it substantially difficult if not impossible, for a trustee or debtor-in-possession
to recover the prepetition transfer of property.
Rich's Department Stores Inc., a 26-unit discounter based in Salem, Mass., and reorganizing under Chapter 11, has received bankruptcy court approval of its entire $30 million debtor-in-possession
financing facility with Gordon Brothers Finance Corp.
The money would be separate from any exit financing and would come in the form of an increase to UAL's existing debtor-in-possession
loans, reported The Associated Press.
Contemporaneously with the commencement of the case, the debtor (the entity filing the voluntary petition) becomes a debtor-in-possession
. The filing of a bankruptcy petition creates a bankruptcy estate which includes all legal and equitable interests of the debtor in property as of the commencement of the case.