Taylor Wharton International (TWI) has announced that it has filed “pre-arranged” voluntary Chapter 11 petitions in the United States Bankruptcy Court for the District of Delaware. Under the terms of the agreement, the company’s debt obligations will be received by more than 50%, and once it emerges from Chapter 11, it will receive improved terms from its lenders and access to new financing, including a $25 million credit facility. Despite the restructuring process, TWI expects operations to continue as usual.
“We believe this financial restructuring is a necessary and positive step to re-align TWI’s capital structure with current business operations,” said Bill Corbin, chairman and CEO of TWI. “TWI will emerge from this restructuring as a stronger company with a more sustainable capital structure that reflects the current economic realities.”
Read the original news release from TWI.
