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Meruelo Creditors Say $10M Backstop Aids Ch. 11 Plan

By Pete Brush (September 13, 2010, 3:52 PM EDT) -- Legendary Investors Group No. 1 LLC and East West Bank, major creditors in the Chapter 11 reorganization of Meruelo Maddux Properties Inc., have agreed to backstop a potential rights offering to the tune of $10 million if their competing plan — one of three in the case of the bankrupt California real estate developer — wins out....

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