Seat Maker Lear Reveals Plan To Restructure Debt

Law360, New York (July 6, 2009, 12:00 AM EDT) -- Revealing further details of its anticipated prepackaged bankruptcy filing, automotive seat manufacturer Lear Corp. has announced that it intends to restructure about $3.6 billion in debt under a Chapter 11 plan by offering lenders a combination of new debt holdings and stock in the reorganized company.

The company disclosed its plans in an 8-K filing with the U.S. Securities and Exchange Commission on Wednesday, also noting that its proposed bankruptcy plan would provide full cash payment for ongoing unsecured operational claims, partial payment in stock for...
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