Loehmann's Fails In Debt Exchange Attempt

Law360, New York (October 29, 2010, 7:33 PM EDT) -- Loehmann’s Capital Corp. announced Friday that its attempts at a debt exchange had faltered, leaving the discount department store chain listing on the edge of insolvency.

The company said in a statement that it had failed to reach the required amount of tender offers to consummate the deal, which was 97 percent in principal amount of the outstanding notes. The transaction fell just short, receiving offers on 92.4 percent of the notes.

The company is now unable to make the October interest payment for the old...
To view the full article, register now.
Law360 Pro Say Podcast
Check out Law360's new podcast, Pro Say, which offers a weekly recap of both the biggest stories and hidden gems from the world of law.