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January 29, 2014
1 Min Read
Smurfit-Stone Container Corporation announced that it has filed a reorganization plan. With this filing, the Company is aiming to emerge from Chapter 11 protection in early Spring 2010.
The company also announced that it has prepaid all of the approximately $43 million remaining outstanding of the U.S. term loan under its Debtor in Possession credit facility (the "DIP"), and expects to prepay the approximately $7 million remaining outstanding of the Canadian term loan under the DIP by the end of December.
Smurfit-Stone expects to emerge from its financial restructuring with a significantly improved balance sheet and with substantially less debt. Under the proposed POR, substantially all of the unsecured debt of Smurfit-Stone Container Enterprises, Inc. will be converted to equity, resulting in a significant reduction of total long-term debt.
Patrick J. Moore, chairman and CEO, said, "The filing of our Plan of Reorganization and Disclosure Statement is an important step toward Smurfit-Stone’s successful emergence from the reorganization process. Our employees, customers, suppliers and other supporters have been instrumental in our ability to reach this important milestone. We will remain focused on tackling the many challenges that remain ahead."
On January 26, 2009, Smurfit-Stone Container Corporation and its U.S. and Canadian subsidiaries filed voluntary petitions for reorganization under Chapter 11 in the U.S. Bankruptcy Court in Wilmington, Delaware. Also on January 26, 2009, the Canadian subsidiaries filed to reorganize under the Companies' Creditors Arrangement Act (Canada) in the Ontario Superior Court of Justice in Canada.
SOURCE: Smurfit-Stone Container Corporation
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