Cengage Learning filed with the U.S. Bankruptcy Court the liquidation analysis as Exhibit F to the Disclosure Statement for Debtors’ Joint Plan of Reorganization Pursuant to Chapter 11 of the Bankruptcy Code. The liquidation analysis states, “The Liquidation Analysis has been prepared assuming that the Debtors converted their cases from Chapter 11 cases to Chapter 7 cases on or about February 28, 2014 (the ‘Conversion Date’). Except as otherwise noted herein, the Liquidation Analysis is based upon the unaudited balance sheets of the Debtors as of August 31, 2013 and foreign non-debtor affiliates as of June 30, 2013 and those values, in total, are assumed to be representative of the Debtors’ assets and liabilities as of the Conversion Date. On the Conversion Date, it is assumed that the Bankruptcy Court would appoint a Chapter 7 trustee (the ‘Trustee’) to oversee the liquidation of the Debtors’ estates, during which time all of the Debtors’ major assets would be sold or surrendered to the respective lien holders, and the cash proceeds, net of liquidation-related costs, would then be distributed to creditors in accordance with relevant law.” The Court scheduled a November 12, 2013 hearing to consider the Disclosure Statement.
About Brandy Chetsas
Brandy L. Chetsas is editor in chief at Bankrupt Company News. She joined New Generation Research, Inc. in 1998. As Director of Strategic Content, she leverages 20+ years of communications and project management experience for the distressed investing sector--with particular expertise on corporate restructurings via Chapter 11. Brandy began her career writing for a law enforcement-related publication and teaching English courses at numerous colleges in the U.S. and abroad.