Bankrupt Glassmaker Attacks $99M Bondholder Demand

Law360, New York (October 14, 2011, 1:42 PM EDT) -- Affiliates of bankrupt Mexican glass manufacturer Vitro SAB de CV told a New York judge Friday that bondholders were trying to jump in front of other creditors and undermine restructuring efforts by demanding about $99 million in interest payments.

The Vitro affiliates — who aren't under federal bankruptcy protection like their parent company — shouldn't have to make interest payments to bondholders affiliated with Aurelius Capital Management LP and Elliott Management Corp. because it would disrupt the parent company's bankruptcy proceedings in Mexico, according to Alan...
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