Court Confirms NewPage Chapter 11 Plan
NewPage Corporation announced that the U.S. Bankruptcy Court for the District of Delaware in Wilmington has confirmed the company’s Chapter 11 Plan. The plan was accepted by the overwhelming majority of NewPage creditors entitled to vote. The company will now proceed to close on the restructuring transactions contemplated by the plan.
“We are pleased that the court has confirmed our Chapter 11 plan, clearing the way for us to officially exit bankruptcy, hopefully by the end of this year,” said George Martin, president and chief executive officer for NewPage. “We will exit bankruptcy with substantially less debt and new financing at lower interest rates. NewPage will be well positioned to serve the needs of our customers and compete successfully in the North American paper industry.”
According to a related BusinessWeek article, the company will be controlled by its first lien noteholders upon emergence from bankruptcy. NewPage will have approximately $500 million in debt when its exits Chapter 11 after getting rid of $2.7 million in obligations, the article said.
NewPage is the producer of printing and specialty papers in North America. NewPage is headquartered in Miamisburg, OH, and owns paper mills in Kentucky, Maine, Maryland, Michigan, Minnesota and Wisconsin.
To read the BusinessWeek article in its entirety, click here.
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