Bus

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

Google launches carpooling app using Waze

Will use Waze’s navigation system to identify which routes cars take most often, and try to pair drivers with people looking to travel to the same destinations.

200 more countdown clocks coming new N.Y. bus stops

So far, just five bus stops in Brooklyn, Manhattan and Staten Island provide arrival times, though smartphone-equipped riders can track their bus on transit apps and the MTA’s Bus Time feature.

Denver RTD unveils its Flatiron Flyer BRT vehicle

The Flatiron Flyer buses, which were supplied by MCI and can carry 57 passengers each, are specially branded with a unique blue-and-sunrise-orange paint scheme designed by RTD and a U.S. 36 corridor stakeholder group.

Safe Fleet acquires Hadley's bus, motorcoach mirror product lines

The Hadley mirror business will remain in Elkhart, Ind., but will relocate from the Hadley site to its own production facility over the next few months. The management, engineering, customer service, administrative and production personnel of the Hadley mirror business will remain with the business and transition to Safe Fleet.

BusCon returns to Indy

Each year, more and more people look forward to BusCon as a chance to network, learn about new trends and technology, and gain the tools that are necessary to revitalize the way they tackle their own operations.

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

TruckingInfo.com

THE COMMERCIAL TRUCK INDUSTRY’S MOST IN-DEPTH INFORMATION SOURCE

Work Truck Magazine

The resource for managers of class 1-7 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