Trib Creditors Must Hand Over $1.5B Bond To Stay Ch. 11 Plan

Law360, New York (August 22, 2012, 11:56 PM EDT) -- A Delaware bankruptcy judge on Wednesday agreed to stay the implementation of Tribune Co.'s Chapter 11 reorganization plan pending an appeal of the plan's key settlement with senior lenders, provided the junior creditors opposing the deal put up a bond of $1.5 billion.

U.S. Bankruptcy Judge Kevin J. Carey granted the motion by junior creditors, led by Aurelius Capital Management LP, to stay implementation of the plan for 180 days while they appeal the settlement that let senior lenders off the hook for the ill-fated 2007...
To view the full article, register now.