Bankruptcy Court Approves International Aluminum's Disclosure Statement
February 24, 2010

Last week the United States Bankruptcy Court for the District of Delaware approved the "Disclosure Statement Relating to the Joint Plan of Reorganization Under Chapter 11 of the Bankruptcy Code" for International Aluminum Corp. (IAC).

A hearing to consider the confirmation of the plan will be held April 19, 2010 at 10:30 a.m.

The proposed restructuring plan will allow the reorganized IAC to "enter into a New Credit Agreement with the Senior Lenders pursuant to which the Senior Lenders will lend Reorganized IAC $38,000,000. The New Term Loan will be guaranteed by Reorganized Holdings and each of IAC's domestic wholly-owned subsidiaries (other than Maestro Products, Inc.) … the New Term Loan has a maturity date of … 2015."

The plan also notes that "Newco, a legal entity organized pursuant to the laws of Delaware, will acquire the assets of IAC and assume the liabilities and other obligations of IAC under the Plan."

Regarding its subsidiaries, the plan notes that the reorganized debtors may, among other things "cause any or all of the Debtors to be merged into one or more of the Reorganized Debtors or any of their affiliates, dissolved or otherwise consolidated, cause the transfer of assets between or among the Reorganized Debtors or any of their affiliates, or engage in any other transaction in furtherance of the Plan …"

CLICK HERE to read the order approving the disclosure statement.

CLICK HERE to read the related story.

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