Equity Committee Bid Nixed In AbitibiBowater Ch. 11

Law360, New York (August 16, 2010, 5:16 PM EDT) -- A federal judge has shot down a bid by a group of AbitibiBowater Inc. shareholders to form an official committee of equity security holders based on concerns that they would be wiped out in the Chapter 11 process.

Judge Kevin J. Carey of the U.S. Bankruptcy Court for the District of Delaware denied the shareholder motion Friday, sustaining objections filed by the bankrupt newsprint producer and its official committee of unsecured creditors.

The shareholder group in question, which owns about 27 percent of AbitibiBowater's stock, requested...
To view the full article, register now.