TerreStar Gets Go-Ahead For $98M Deal With Lenders

Law360, New York (October 12, 2011, 5:47 PM EDT) -- A New York judge on Wednesday approved a $98 million settlement between bankrupt satellite communications company TerreStar Networks Inc. and two separate groups of creditors that had been litigating over a so-called purchase money credit agreement.

U.S. District Judge Sean Lane's approval of the deal means that TerreStar can on Thursday make a final $8 million payment to lenders EchoStar Corp. and Harbinger Capital Partners and collateral agent U.S. Bank National Association, which helped fund its TerreStar-2 communications satellite. The communications company, which filed for Chapter...
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