Pinnacle Closer To Joining Delta As Ch. 11 Plan Outline OK'd

Law360, New York (March 7, 2013, 2:36 PM EST) -- Pinnacle Airlines Corp. may begin soliciting votes for its Chapter 11 plan after obtaining a New York bankruptcy judge’s approval Thursday of its plan outline, whereby it will become a wholly owned subsidiary of Delta Air Lines Inc.

U.S. Bankruptcy Judge Robert E. Gerber signed off on the airline’s disclosure statement for the plan, which was presented at an uncontested hearing Thursday. Under the plan, secured creditors will be paid in full and a trust will be created for general unsecured creditors’ claims, according to an...
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