Delphi gets court approval of agreement with steelworkers' union

By Reshmi Basu

New York, Aug. 29 - Delphi Corp. obtained approval Wednesday for the company's labor settlement agreement with the United Steel Workers union from the U.S. Bankruptcy Court for the Southern District of New York.

USW was the last union to hammer out a contract with the company. The agreement covers about 900 employees at the company's Vandalia and Home Avenue plants in Dayton, Ohio.

Judge Robert D. Drain called the accords a significant step in the Delphi's Chapter 11 case, which reflect the positions of all the parties involved as well as the "business realities of both sides."

Wednesday's court ruling will allow the company to proceed with its intention to file a plan of reorganization by the third quarter and exit bankruptcy by year's end, Delphi attorney Jack Butler of Skadden, Arps, Slate, Meagher & Flom told the court.

Delphi, a Troy, Mich.-based automotive electronics manufacturer, filed for bankruptcy on Oct. 8, 2005. Its Chapter 11 case number is 05-44481.

© 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.