Vitro S.A.B.Wins Appeal; Begins its Pre-Packaged Concurso Mercantil Process
April 11, 2011
Vitro S. A. B. de C.V. announced that in a resolution from the Judge for the Second Unitary Court of the Fourth Circuit in Monterrey (the Court), the appeal proceedings submitted by Vitro has been resolved its in favor.
As part of such resolution, the Court has declared Vitro in concurso mercantil [bankruptcy proceedings] based on its pre-packaged voluntary proceedings petition, which the company says is supported by more than 650 bondholders and holders of other financial instruments.
Regarding this ruling, Alejandro Sánchez Mújica, executive legal president and general counsel of Vitro, commented, “It is now the responsibility of the Fourth Federal District Court for Civil and Labor Matters in the State of Nuevo León to continue with the pre-packaged concurso mercantil process, and to stay or make a ruling regarding the involuntary concurso mercantil suit filed by a minority group of bondholders in which the Visitador appointed by the IFECOM (Federal Institute of Specialists on Mercantile Procedures) rendered his opinion stating that on the date the involuntary suit was filed, this petition did not comply with the legal requirements established in the Mexican Law to grant the concurso mercantil as petitioned by the plaintiffs.”
Vitro expects that this resolution will expedite its restructuring process, while it continues operating normally and fulfilling its commitments to customers, suppliers and employees as has been the case to date.
Company spokesperson Albert Chico Smith told USGNN.com™ that this will have no affect on Vitro America’s potential sale of its assets to Grey Mountain Partners, LLC.