April 12, 2019 – Sears Holdings Corporation filed a motion to extend the periods (for a second time) during which the Company has an exclusive right to file a Chapter 11 Plan, and solicit acceptances thereof, through and including June 12, 2019 and August 13, 2019, respectively [Docket No. 3183]. Absent the requested relief, the…
April 15, 2019 – The Debtors (i) filed a prepackaged Plan and a related Disclosure Statement [Docket Nos. 20 and 19, respectively] and (ii) scheduled a May 6, 2019 combined hearing to approve the Disclosure Statement and confirm the Plan [Docket No. 21]. In a press release announcing the filing, the debtors provided the following detail…
April 11, 2019 – The Court hearing the FirstEnergy Solutions Corp ("FES") cases issued an order denying the Debtors' motion requesting approval of their Disclosure Statement [Docket No. 2500]. The Court's order states, "Due to the breadth and ambiguity of the nonconsensual third-party releases proposed in Section VIII.E. of the Plan, the Court concludes that…
April 5, 2019 – The U.S. Trustee for Region 6 objected [Docket No. 178] to the Debtors’ retention of Prime Clerk ("Prime") as the Debtors' claims, noticing and solicitation agent [Docket No. 8], stating that Prime's "evergreen retainer, the monthly fee procedures without a mechanism for holdback and review, and the indemnification are improper under…
April 4, 2019 – The Court hearing the FirstEnergy Solutions Corp ("FES") cases issued an oral ruling refusing to approve the adequacy of the Debtors' Disclosure Statement [Docket No. 2121]. In holding that the Disclosure Statement "underlies an unconfirmable Plan" and hence could not be approved, Judge Alan Koschik clearly took to heart the objection…
April 3, 2019 – The U.S. Trustee assigned to the Aceto Corporation cases has objected to (i) the Debtors' request for approval of a key employee investment plan (the "KEIP") and a key employee retention plan (the "KERP") and (ii) a related seal motion [Docket Nos. 309 and 310]. The objections pick apart what many…
April 2, 2019 – The U.S. Trustee assigned to the CTI Foods cases filed multiple objections to the Debtors’ application for retention of professionals, arguing that those professionals have failed to properly follow rules relating to disclosing parties in interest. The Centerview objection adds a further troubling complaint for professionals serving as investment bankers, that…
April 1, 2019 – The Debtors filed a motion requesting each of a bidding procedures order (the “Bidding Procedures Order”) and a sales order (the “Sales Order”) [Docket No. 25]. The Bidding Procedures order would authorize (i) proposed bidding procedures, including bid protections, (ii) entry into an agreement with stalking horse bidder (the “Option Agreement…
April 1, 2019 – The Debtors requested Court authority to access $11.0mn in debtor-in-possession (“DIP”) financing ($4.0mn on interim basis) to be provided by Orchids Investment (“OI” or the “DIP Lender”) and (ii) use of cash collateral [Docket No. 18]. OI, an affiliate of stakeholder Black Diamond Capital Management, L.L.C. , is also the presumptive…
April 1, 2019 − Orchids Paper Products Company (NYSE American: TIS) and two affiliated Debtors (together, “Orchids Paper” or the “Debtors”) filed for Chapter 11 protection with the U.S. Bankruptcy Court in the District of Delaware, lead case number 19-10729. The Company, a leading national supplier of high quality consumer tissue products primarily serving the…
