Corus Bankshares gets limited exclusivity extension, files new plan

By Lisa Kerner

Charlotte, N.C., May 26 - Corus Bankshares, Inc. exclusive period to file its plan of liquidation was extended to June 16 after the company filed a new plan on Wednesday, according to an attorney familiar with the case.

As previously reported, the company's official committee of unsecured creditors recently objected to Corus' proposed exclusivity extension to give it the option of filing its own plan for the company's case.

The committee said that Corus' amended liquidating plan no longer has the support of Tricadia CDO Management LLC, which now wants the company to "reorganize around its rapidly diminishing cash and single performing loan participation and run a finance company."

According to the objection, the current Tricadia term sheet is not acceptable to the committee.

The committee wanted the exclusivity extension denied so the creditor group can file its own plan.

However, Corus said it wanted more time to time to agree on consensual modifications to its plan with Tricadia, its affiliates and the creditors committee, according to a prior filing.

Tricadia purchased about $166.6 million of the debtor's trust originated preferred securities and requested some minor modifications to the plan to protect its investment.

Corus, a Chicago-based bank holding company, filed for bankruptcy on June 15, 2010. Its Chapter 11 case number is 10-26881.

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