Filene's Plan Grants Full Recovery To Secured Creditors

Law360, New York (November 19, 2009, 2:22 PM EST) -- Filene's Basement Inc. has proposed a joint plan of liquidation under which unsecured creditors will retrieve at least 75 percent of their claims against the bankrupt discount retailer, while secured creditors will make a full recovery.

The proposed plan, filed Wednesday in the U.S. Bankruptcy Court for the District of Delaware along with an accompanying joint disclosure statement, proposes to consolidate the debtors' estates for voting and distribution purposes only with the end goal of liquidating the debtors' remaining assets.

Filene's said the plan would provide...
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