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NWA Announces Unofficial Results of Plan of Reorganization Voting
Northwest Airlines Corporation announced on Wednesday that the preliminary tally of votes indicates that its Plan of Reorganization has been approved overwhelmingly by its creditors.
The unofficial vote tally indicates that 96.9 percent of the airline’s creditors who voted, representing 98.4 percent of the dollar amount of the claims that voted, approved the Northwest plan. The final voting results will be filed late this week with the U.S. Bankruptcy Court for the Southern District of New York, the court overseeing Northwest’s restructuring.
Doug Steenland said, “We appreciate our creditors’ confidence in the Northwest Plan of Reorganization, which provides creditors with a stake in Northwest Airlines going forward and represents a substantial recovery on their unsecured claims.â€
“Today’s creditor approval is another step in Northwest’s efforts to complete its restructuring next month and to move forward as a strong, fully-competitive airline. In recent weeks, we have announced the composition of our new board of directors, indicated a desire to list our new common stock on the New York Stock Exchange and reported a first quarter profit, excluding unusual and reorganization items, for the first time since 1998.â€
A confirmation hearing on the airline’s Plan of Reorganization is scheduled to begin on May 16.
Northwest received Bankruptcy Court approval of its Disclosure Statement on March 31 and was authorized by the court to solicit creditor approval of its plan. Creditor voting ended May 7.
Northwest Airlines has filed an application with the New York Stock Exchange to trade its new common stock under the ticker symbol “NWA†after the airline emerges from Chapter 11 bankruptcy protection.
Northwest added that upon the effective date of its Plan of Reorganization, the outstanding common stock, currently traded under the ticker symbol NWACQ.PK, and the preferred stock of the company will be cancelled for no consideration, and, therefore, the company’s existing stockholders will no longer have any interest as stockholders in the company.
Northwest Airlines Corporation announced on Wednesday that the preliminary tally of votes indicates that its Plan of Reorganization has been approved overwhelmingly by its creditors.
The unofficial vote tally indicates that 96.9 percent of the airline’s creditors who voted, representing 98.4 percent of the dollar amount of the claims that voted, approved the Northwest plan. The final voting results will be filed late this week with the U.S. Bankruptcy Court for the Southern District of New York, the court overseeing Northwest’s restructuring.
Doug Steenland said, “We appreciate our creditors’ confidence in the Northwest Plan of Reorganization, which provides creditors with a stake in Northwest Airlines going forward and represents a substantial recovery on their unsecured claims.â€
“Today’s creditor approval is another step in Northwest’s efforts to complete its restructuring next month and to move forward as a strong, fully-competitive airline. In recent weeks, we have announced the composition of our new board of directors, indicated a desire to list our new common stock on the New York Stock Exchange and reported a first quarter profit, excluding unusual and reorganization items, for the first time since 1998.â€
A confirmation hearing on the airline’s Plan of Reorganization is scheduled to begin on May 16.
Northwest received Bankruptcy Court approval of its Disclosure Statement on March 31 and was authorized by the court to solicit creditor approval of its plan. Creditor voting ended May 7.
Northwest Airlines has filed an application with the New York Stock Exchange to trade its new common stock under the ticker symbol “NWA†after the airline emerges from Chapter 11 bankruptcy protection.
Northwest added that upon the effective date of its Plan of Reorganization, the outstanding common stock, currently traded under the ticker symbol NWACQ.PK, and the preferred stock of the company will be cancelled for no consideration, and, therefore, the company’s existing stockholders will no longer have any interest as stockholders in the company.
