Power Plant Unit Gets Go-Ahead To Restructure $640M In Debt

Law360, Wilmington (December 6, 2012, 6:54 PM EST) -- Homer City Funding LLC, a funding entity for a coal-fired power plant in Western Pennsylvania, won Delaware bankruptcy court approval Thursday for a plan to restructure $640 million in bond debt after only a month under court protection.

At a hearing in Wilmington, U.S. Bankruptcy Judge Kevin Gross signed off on the prepackaged reorganization plan that also eliminates a complex lease structure for the 1,884-megawatt power plant located 45 miles outside Pittsburgh.

Homer City’s bondholders, the only significant class of creditors, voted unanimously in favor of...
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