Stone & Webster reorganization plan approved

New York, Jan. 16 - Stone & Webster, Inc. said the U.S. Bankruptcy Court for the District of Delaware confirmed its plan of reorganization.

The third amended plan is expected to become effective by Feb. 6.

The Boston company said the amended plan was supported by its two largest unsecured creditors, Federal Insurance Co. and Maine Yankee Atomic Power Co., as well as the Official Committee of Unsecured Creditors and the Official Committee of Equity Holders. It was approved "overwhelmingly" by creditors and other parties in voting, Stone & Webster added.

Under the plan, a number of separate estates will be created, each to be separately funded and administered.

Equity holders who voted to accept the plan and tender their shares will receive the initial distribution shortly after the effective date, Stone & Webster said. The initial distribution is 62 cents per share in cash, with 50 cents subject to Federal Insurance Co. first receiving $25 million.

Stone & Webster filed for Chapter 11 on June 2, 2000. The majority of its assets and liabilities were sold to the Shaw Group on July 14, 2000 following a court-approved auction.

© 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.