BNY's Challenge To Lyondell DIP Package Nixed

Law360, New York (April 13, 2009, 12:00 AM EDT) -- A bankruptcy judge has ruled that holders of two sets of Lyondell Chemical Co. secured notes worth about $475 million are adequately protected under the company's debtor-in-possession financing, denying a motion by Bank of New York Mellon, as trustee for the noteholders, to reconsider the DIP package.

Judge Robert E. Gerber of the U.S. Bankruptcy Court for the Southern District of New York ruled Friday that Bank of New York had misinterpreted the order approving the DIP financing, and had incorrectly concluded that the senior notes...
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