Collins & Aikman Gets New Lease On Chapter 11 Plan

Law360, New York (December 15, 2006, 12:00 AM EST) -- Bankrupt auto supplier Collins & Aikman Corp. has scored more time to file its reorganization plan after revealing a lead bidder has stepped up to purchase its flooring and acoustical components business.

On Wednesday, U.S. Bankruptcy Judge Steven Rhodes gave Collins & Aikman until Jan. 12 to file a Chapter 11 plan and until March 14 to solicit creditors' support for it.

Under bankruptcy law, companies must turn in a Chapter 11 plan mapping out how creditors will be paid. Exclusive periods bar other parties from...
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