EXIDE BANKRUPTCY UPDATE: Exide wants court to extend its period of exclusivity to May 31, 2014, for submitting reorganization business plan
On September 26, Exide filed a motion with the U.S bankruptcy court to extend its period of exclusivity for submitting a Chapter 11 reorganization business plan from March 10, 2014, to May 31, 2014. There will be a hearing on the motion on Oct. 16, at 1 p.m. EST.
Shortly after Exide filed for Chapter 11 bankruptcy on June 10, and in the original version of its $500 million Debtor-in-Possession loan documents, the company stated that it wanted to have a reorganization plan ready for submission in six months. The timeline was challenged by secured and unsecured creditors, among others, and in the timeframe for filing a plan was extended to March 10, 2014, in the final and approved DIP facility documents.
During the period of exclusivity, only Exide will be able to submit a reorganization plan to the court, and plans from other, unrelated entities will not be allowed.