Bankruptcy Court Approves Star Buffet Disclosure Statement
Star Buffet, Inc. announced that the United States Bankruptcy Court for the District of Arizona approved the disclosure statement filed in connection with the company’s proposed First Amended Joint Plan of Reorganization dated May 24, 2012 under Chapter 11 of the Bankruptcy Code. Approval of the Disclosure Statement allows the company to solicit approval of the plan from its creditors. The approval of the Disclosure Statement represents an important step in the company’s efforts to emerge from Chapter 11.
Star Buffet, Inc. filed a voluntary petition for reorganization under Chapter 11 on September 28, 2011. Summit Family Restaurants Inc. filed a voluntary petition for reorganization under Chapter 11 on September 29, 2011. The cases are being jointly administered. None of the company’s other subsidiaries were included in the bankruptcy filing.
The confirmation hearing for the Plan is scheduled for July 12, 2012. The Plan will become effective only if, among other requirements, it receives the requisite votes in favor of acceptance and is confirmed by the bankruptcy court. There can be no assurance that: (a) those entitled to vote on the plan will accept it, or (b) that the Court will confirm it.
Star Buffet is a multi-concept restaurant operator. As of May 25, 2012, Star Buffet, through its subsidiaries, operates seven 4B’s restaurants, seven JB’s restaurants, four Barnhill’s Buffet restaurants, four K-BOB’S Steakhouses, two HomeTown Buffets, one Casa Bonita Mexican theme restaurant, one Whistle Junction restaurant, one BuddyFreddys restaurant, one Western Sizzlin restaurant, one Holiday House restaurant, one JJ North’s Grand Buffet, one Pecos Diamond Steakhouse and one Bar-H Steakhouse.
Previously on abfjournal.com: