Collins & Aikman seeks 60-day exclusivity extension for plan negotiations

By Caroline Salls

Pittsburgh, Oct. 12 - Collins & Aikman Corp. requested an extension to its exclusive periods to file a plan of reorganization and solicit votes on the plan, according to a Wednesday filing with the U.S. Bankruptcy Court for the Eastern District of Michigan.

The company wants to extend its exclusive plan-filing period to Dec. 27 from Oct. 27 and the solicitation period to Feb. 26 from Dec. 27.

According to the motion, the extension is necessary to allow the company to complete negotiations with its principal customers regarding the global resolutions necessary for it to emerge from Chapter 11 as a stand-alone enterprise.

Collins & Aikman said the outcome of these negotiations will materially affect its reorganization plans.

In addition, the company said the unofficial steering committee for its senior secured pre-bankruptcy lenders has been engaged in plan negotiations with the official committee of unsecured creditors, and Collins & Aikman is continuing marketing efforts for a sale of all or part of its businesses.

A hearing is scheduled for Oct. 26.

Collins & Aikman, a Troy, Mich.-based automotive company, filed for Chapter 11 on May 17, 2005. Its case number is 05-55927.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.