Orchard Brands' Creditors Target Golden Gate

Law360, New York (February 23, 2011, 8:22 PM EST) -- Orchard Brands has reached a settlement with its unsecured creditors committee that could result in litigation against the bankrupt clothing retailer’s majority owner, Golden Gate Private Equity Inc., and an eventual recovery for the creditors.

The settlement brings the committee on board with the debtors and secured lenders in a fast-track reorganization plan to slash $420 million in debt from the company’s balance sheet and emerge from Chapter 11 protection by May, an attorney for the debtors said at hearing in the U.S. Bankruptcy Court for...
To view the full article, register now.