Rotech Equity Holders Out Of The Money, Judge Says
By Matt Chiappardi
Law360, Wilmington (August 26, 2013, 5:02 PM EDT) -- A Delaware bankruptcy judge ruled Monday that Rotech Healthcare Inc. is not solvent enough to provide a recovery for equity holders, leading the U.S. Trustee's Office to say it will disband the equity committee and likely putting an end to months of bitter battles in the case.
At a hearing in Wilmington, U.S. Bankruptcy Judge Peter J. Walsh granted a motion for summary judgment from Rotech, which argued that the court could not find the company as solvent because two reports had already valued the company...