According to the U.S. Bankruptcy Court docket, the Court approved Boomerang Systems’ motion to extend the exclusive period during which the Company can file a Chapter 11 plan and solicit acceptances thereof through and including April 14, 2016 and June 13, 2016, respectively.
As previously reported, “By granting the requested extension, the Debtors will have time to finalize a comprehensive and consensual plan of liquidation that will benefit all creditors. Conversely, termination of the Exclusive Periods could lead to the filing of multiple plans and a contentious conformation process resulting in increased administrative expenses and consequently diminishing returns to the Debtors’ creditors. Moreover, it could significantly delay, if not completely undermine, the Debtors’ ability to confirm any plan at all. Courts in this and other districts have granted similar or longer extensions of the Exclusive Periods in order to provide debtors with an adequate opportunity to develop a plan of reorganization.”
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