Mark IV reorganization plan wins court approval

Posted on September 28, 2009

On Sept. 23, Mark IV Industries announced that less than five months after the company entered Chapter 11, the Bankruptcy Court for the Southern District of New York has confirmed the company’s plan of reorganization.


The court’s approval of the plan, which had been accepted by an overwhelming majority of Mark IV’s creditors, clears the way for Mark IV to emerge from Chapter 11 in October.


Under the plan, as confirmed by the court, Mark IV will reduce debt obligations on its balance sheet from approximately $1.2 billion to approximately $400 million. The company’s senior secured lenders will receive an 88 percent equity stake (before any allocation to management) in the reorganized company and pro rata participation in the Restructured Debt Term Loan Agreement. The remaining 12 percent would be shared by the company’s unsecured creditors, including senior secured lenders. Current equity in Mark IV will be cancelled and no distribution will be provided to current equity holders under the plan.


The company also announced that Jim Orchard and Mark Barberio will be co-chief executive officers of Mark IV. Orchard served as the company’s interim chief executive officer during the restructuring. Barberio, who also continues as Mark IV’s chief financial officer, joined the company in 1985.



View comments or post a comment on this story. (0 Comments)

More News

Fla.'s JTA sets launch date for new BRT service

The 9.4 mile Green Line on the North Corridor will feature direct, high-frequency service; 18 branded stations; complimentary Wi-Fi, a Park-n-Ride lot, and real-time bus arrival information.

Canadian bus service to block Internet streaming

Some customers have reported slow internet service, while others couldn't connect at al, due to Internet streaming issues.

Nova Bus names new east coast regional sales manager

Prior to joinging Nova, John Manzi served as eastern regional transit sales manager for a major transmission manufacturer.

Shuttle, circulator routes drawing thousands of riders in Miami

These services carried more than eight million passengers last year in 27 municipalities and are praised by riders and public officials alike as successful transit programs.

Calif.'s VVTA unveils Google trip planner update, web app

VVTA staff coordinated with the county and cities to maintain route and stop accuracy throughout the release cycle. Meeting the needs of the many departments at each agency added to the complexity of the project.

See More News

Post a Comment

Post Comment

Comments (0)

More From The World's Largest Fleet Publisher

Automotive Fleet

The Car and truck fleet and leasing management magazine

Business Fleet

managing 10-50 company vehicles

Fleet Financials

Executive vehicle management

Government Fleet

managing public sector vehicles & equipment



Work Truck Magazine

The number 1 resource for vocational truck fleets

Schoolbus Fleet

Serving school transportation professionals in the U.S. and Canada

LCT Magazine

Global Resource For Limousine and Bus Transportation

Please sign in or register to .    Close