By: E&P Staff
Morris Publishing Group said the judge overseeing its prepackaged bankruptcy set a confirmation hearing on its plan for Feb. 17, setting the stage for a quick exit from Chapter 11.
On Tuesday, Judge John Dalis of the U.S. Bankruptcy Court in Morris’ headquarters city of Augusta, Ga., approved a number of motions allowing the parent of The Florida Times-Union and a dozen other dailies to continue paying employees and the bills of suppliers from before and after the filing of its bankruptcy petition on Jan. 19.
Holders of 93% of $278 million in bond debt have already approved a plan to swapping those notes for $100 million in new high-interest notes. , two St. Augustine, Fla., residents are not.
Under the prepackaged plan, Morris Publishing will reduce its overall indebtedness from approximately $415 million to $126.5 million.