RathGibson's exclusivity extended to February
RathGibson Inc. without opposition received an extension until Feb. 23 of the exclusive right to propose a reorganization plan.
Although the bankruptcy court had approved a disclosure statement enabling creditors to vote on a plan, the manufacturer of welded tubing products is revising the proposal and intends to emerge from Chapter 11 in the first quarter of 2010.
The amendments will be designed to accomplish a "more tax efficient restructuring," according to a court filing.
The Lincolnshire-based company listed assets of $305 million against debt totaling $319 million. In addition to the $209 million in senior notes, debt includes $55.3 million on secured credit agreements and $10.4 million owing to trade suppliers.
The holding company is also liable on $115 million in pay-in-kind notes. A group including management and an affiliate of DLJ Merchant Banking Partners acquired control of RathGibson in June 2007.
The case is In re RathGibson Inc., 09-12452, U.S. Bankruptcy Court, District of Delaware (Wilmington).