The U.S. Bankruptcy Court approved Energy Future Holdings’ (EFH) Disclosure Statement related to the First Amended Joint Plan of Reorganization, filed by EFH and Energy Future Intermediate Holdings (EFIH).
As previously reported, “The Plan constitutes a separate plan of reorganization for each of the EFH/EFIH Debtors. Additionally, the Plan provides for the following key transactions and recoveries for each of the EFH Debtors and EFIH Debtors. This EFH Disclosure Statement provides information regarding the restructuring of the EFH/EFIH Debtors. The TCEH Disclosure Statement provides information regarding the TCEH Debtors and the EFH Shared Services Debtors. The EFH Unsecured Creditor Recovery Pool and the EFIH Unsecured Creditor Recovery Pool consist of Cash; provided, however that, consistent with the terms of the Merger Agreement and the Tax Contingency Disclosure, adjustments to the form of consideration included in the EFH Unsecured Creditor Recovery Pool or EFIH Unsecured Creditor Recovery Pool shall be made, including by the issuance, if any, of Rollover Trust Certificates pursuant to the actual or deemed transactions described in Article IV.B.4 of the Plan.”
In addition, “The primary reason for the provision for adjustments to the form of consideration in the Plan is to ensure that the transactions contemplated under the Plan and the Merger do not cause the TCEH Transactions to retroactively fail to qualify as a tax-free reorganization….Holders of EFH Beneficiary Claims are entitled to receive, in addition to their other recoveries as Allowed EFH Corp. Claims, their Pro Rata share of the TCEH Settlement Claim Turnover Distribution in an aggregate amount not to exceed $37.8 million.” The following dates are fixed: September 6, 2017 – voting record date and October 30, 2017 – voting deadline.
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