Daily News: May 21, 2014

Sbarro’s Second Bankruptcy Exit Receives Court Approval

Bloomberg reported that pizza chain Sbarro won court approval to exit its second bankruptcy in three years, after landlord objections were resolved. According to the article, the company’s debt will be reduced from $148.2 million to $20 million, under the reorganization plan that converts some loans into exit financing and turns pre-bankruptcy debt into common stock in a new company.

Bloomberg said unsecured creditors will split $1.25 million, citing court papers.

To read the entire Bloomberg article, click here.

Previously on abfjournal: WSJ: Sbarro Files for Chapter 11 Bankruptcy Again, March 11, 2014