Daily News: June 24, 2014

Energy Future Said to Revise Loan Backing Restructuring

Bloomberg reported Energy Future Holdings revised a $1.9 billion loan to help it emerge from bankruptcy after a group of creditors submitted a competing plan with NextEra Energy, according to two people with knowledge of the talks.

The original second-lien, DIP loan will convert into 60% of the equity in a newly reorganized company, down from 64% initially described in the restructuring proposal, according to a Bloomberg source, who asked not to be identified because the talks are private. Bloomberg said further the interest rate on the debt will be reduced to 6.25% from 8%, the people said.

To read the entire Bloomberg story, click here.

Previously on abfjournal: Trustee Sues Energy Future on $2.2B of Loans, June 18, 2014