Dynegy Creditors Overwhelmingly Support Plan of Reorganization
Dynegy Inc. and Dynegy Holdings announced that their creditors voted in support of their Joint Plan of Reorganization, with creditors holding approximately $3.5 billion of claims, or over 99% of the value of claims that voted, approving the Plan (this reflects approval by approximately 87% of the number of creditors who voted).
A hearing to consider confirmation of the plan of reorganization is scheduled for September 5, 2012. Dynegy and Dynegy Holdings expect to emerge from bankruptcy shortly after confirmation of the plan.
Upon emergence, the company proposes to have a seven member Board of Directors. The proposed new directors have been named by a selection committee appointed by the company’s creditors. The board appointments will be effective upon the company’s emergence from chapter 11. Dynegy president and CEO Robert C. Flexon is proposed to remain on the board. The remaining slate of proposed directors consists of Pat Wood III (chairman), Hilary E. Ackermann, Paul Barbas, Richard Kuersteiner, Jeffrey S. Stein and John R. Sult.
Wood has served as a principal of Wood3 Resources, an energy infrastructure developer, since July 2005. Ackermann served as chief risk officer with Goldman Sachs Bank USA from 2008 to 2011. Barbas was president and CEO of DPL Inc. and its principal subsidiary, The Dayton Power and Light Company (DP&L) until 2011.
Flexon serves as president and CEO. Prior to joining Dynegy in July 2011, Flexon served as the CFO of UGI Corporation from February to June 2011. Kuersteiner served as a member of the Franklin Templeton Investments legal department from 1990 until May 2012 in various roles including managing corporate counsel, director of Restructuring, and associate general counsel. Stein is a co-founder and managing partner of Power Capital Partners. Sult served as CFO of El Paso Corporation from November 2009 until May 2012.
Dynegy Inc.’s subsidiaries produce and sell electric energy, capacity and ancillary services in key U.S. markets.
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