Juno adjourns class B notes meeting, gives outcome for other sessions

By Susanna Moon

Chicago, Jan. 17 – Juno (Eclipse 2007-2) DAC announced the results of the meetings held Jan. 16 to amend three series of notes related to its proposed restructuring.

The notice was sent to holders of its €677.25 million class A floating-rate notes due 2022, €600,000 class X floating-rate notes due 2022, €69.15 million class B floating-rate notes due 2022, €74.3 million class C floating-rate notes due 2022, €40.9 million class D floating-rate notes due 2022 and €5.75 million class E floating-rate notes due 2022.

The outcome for the three meetings were as follows, according to a company update on Jan. 17:

• For the class A notes, the extraordinary resolution was passed by the noteholders;

• For the class B notes, the meeting was adjourned for lack of quorum and the issuer subsequently decided that the meeting for the class B notes should be canceled and that the proposals should be withdrawn; and

• For the class C notes, the extraordinary resolution was not passed.

The issuer said on Jan. 11 that it had amended its proposed restructuring set out in a notice dated Dec. 24.

The amended notice provided for the following:

• The waiver by holders of the class C notes of any note event of default that may result from the non-payment of interest on the class C notes on any future interest payment date; and

• The payment of all outstanding accrued interest on the class A notes and class B notes, in addition to principal, with the proviso that any default interest payable on the class A notes and class B notes is waived by those holder.

As reported Nov. 15, Juno expected to forgo paying interest due Nov. 20 on its notes because of ongoing talks related to the credit default swap for the Neumarkt reference obligation.

“The issuer is considering the most appropriate steps for it to take in the event that no agreement is reached between the relevant transaction parties in relation to the amounts payable under the Neumarkt CDS,” according to a previous notice.

Before that, the issuer said it had “reached an impasse” at the noteholder meeting on Oct. 12 on its proposed restructuring and that it could begin “insolvency proceedings in the very near future.”

“The issuer considered the commercial differences between the creditors to be irreconcilable and the possibility of a viable consensual restructuring proposal to be remote,” according to the previous notice.

Juno said on Sept. 21 that it had not received any proposals for entering into a legally binding agreement for its payment of costs and expenses following its Aug. 21 notice of default to holders of its class A, X, B, C, D and E floating-rate notes due November 2022.

Additionally, Juno said it did not receive any proposal for entry into a legally binding or viable – in the view of Juno and its directors – consensual restructuring that would address its directors’ concerns related to the issuer’s financial position.

The stipulated 28 days for a consensual restructuring to be proposed had expired, the company noted at the time.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.