Gibson Brands – Court Approves Disclosure Statement Addendum

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September 13, 2018 – The Court hearing the Gibson Brands case approved the Debtors’ Disclosure Statement addendum [Docket No. 767] and amended solicitation procedures with respect to Class 6 And Class 8 claims (these two classes comprised of general unsecured claims of (i) less than $40,000 and (ii) greater than $40,000, respectively) related to the Fourth Amended Joint Chapter 11 Plan of Reorganization [Docket No. 726]. The amended documents reflect the resolution of outstanding issues following the filing of the Debtors’ most recent Plan and Disclosure Statement, and, although the Debtors view the current filings as probably not required (given that holders of Class 6 and Class 8 claims are each treated at least as well as in earlier Plans) they filed these documents “out of an abundance of caution.” The Court documents explain [Docket No. 724], “Under the Third Amended Plan, the estimated recovery to Holders of Claims in Class 6 was between approximately 2.7% to 5.4%. As described in the Disclosure Statement Addendum, under the Fourth Amended Plan, the estimated recovery to Holders of Claims in Class 6 is between approximately 5.1% to 10.8%.” 

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