Nebraska Book Emerges From Chapter 11
NBC Acquisition Corp. and its subsidiaries, including Nebraska Book Company, Inc., an industry provider in solutions for the college bookstore marketplace, announced they successfully completed their restructuring and have emerged from Chapter 11 with lower debt and a significantly stronger balance sheet.
“This is an important day for Nebraska Book Company. We are emerging a stronger company aggressively focused on future growth,” said Barry Major, the company’s CEO. “Throughout the process, our goal was to continue providing unparalleled customer service in the college bookstore marketplace and we never lost our focus over the past year. We were able to increase our on-campus footprint through the acquisition of 23 new stores, our latest being Portland State University Bookstore. We also dramatically expanded our industry-leading rental program with our commercial accounts,” Major continued. “This speaks volumes about our business strategy and how we’ve consistently provided solutions for college and university partners to make college one of life’s best experiences for our guests.”
On June 27, 2011, the company filed for chapter 11 protection in the U.S. Bankruptcy Court for the District of Delaware to restructure approximately $450 million in loans and bonds. The Honorable Peter J. Walsh of the U.S. Bankruptcy Court for the District of Delaware confirmed the company’s Third Amended Joint Plan of Reorganization on May 30, 2012. Through the plan, the company will reduce the debt on their balance sheet by approximately $240 million, in part by procuring a consensual conversion of $100 million of the company’s 10% senior secured notes due 2011 into equity in the reorganized company. The plan became effective on June 29, 2012.
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