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LINN Energy Bankrutpcy Plans Confirmed

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The U.S. Bankruptcy Court confirmed LINN Energy Debtors Linn Acquisition and Berry Petroleum’s Amended Joint Chapter 11 Plan of Reorganization. According to the Disclosure Statement, “The Plan provides for the reorganization of the Berry Debtors as a going concern and will significantly reduce long-term debt and annual interest payments of Reorganized Berry, resulting in a stronger, de-levered balance sheet for the Reorganized Berry Debtors.”

The Court concurrently confirmed the Amended Joint Chapter 11 Plan of Reorganization for LINN Energy and its Debtor affiliates (other than Linn Acquisition and Berry Petroleum). According to documents filed with the Court, “The Plan shall be deemed a motion to approve the good-faith compromise and settlement pursuant to which the LINN Debtors, the Holders of Claims against and/or Interests in the LINN Debtors, the Consenting LINN Creditors, and the LINN Lenders settle all Claims, Interests, and Causes of Action pursuant to section 1123 of the Bankruptcy Code and Bankruptcy Rule 9019, including the Berry-LINN Intercompany Settlement, and in consideration for the classification, distributions, releases, and other benefits provided under the Plan, upon the Effective Date, the provisions of the Plan shall constitute a good faith compromise and settlement of all Claims and Interests and controversies resolved pursuant to the Plan. The Confirmation Order shall constitute the Court’s approval of the compromise, settlement, and release of all such Claims, Interests, and Causes of Action.”

This independent oil and natural gas company filed for Chapter 11 protection in May 2016, listing $10 billion in pre-petition assets.

Read more LINN Energy bankruptcy news.