Wellman Pitches Plan In Bid To Stay Afloat

Law360, New York (November 14, 2008, 12:00 AM EST) -- Bankrupt polyester and plastics company Wellman Inc. has been given a green light to solicit creditors' votes on its reorganization plan, with Wellman warning creditors that it will go out of business if the plan fails to win confirmation.

Judge Stuart M. Bernstein of the U.S. Bankruptcy Court for the Southern District of New York signed off on an order approving Wellman's third amended disclosure statement on Wednesday.

Wellman's emergence from bankruptcy is contingent on the company receiving $90 million from a rights offering, acceptance of...
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