Delphi receives 'broad-based support' from plan voters

By Caroline Salls

Pittsburgh, Jan. 16 - Delphi Corp. received "broad-based support" of its plan of reorganization from creditors voting on the plan, according to a company news release.

But it also cautioned that if contested ballots are allowed it could reduce the acceptance below the required threshold for two classes of creditors.

According to the release, of the more than 4,000 ballots cast by general unsecured creditors voting on the plan, 3,329 or 81% of all voting creditors voted to accept the plan. By amount, holders of $2.084 billion, or 78%, of general unsecured claims voted to accept the plan.

This number does not include ballots cast by General Motors Corp., plaintiffs in the company's multi-district litigation or interest holders.

Delphi said GM and the multi-district litigation creditors voted unanimously to accept the plan, while holders of 170.29 million shares, representing 78% of the 217 million shares voted, accepted the plan.

General Motors holds a $2.57 billion claim, and the litigation creditors hold $57.2 million in claims, the release said.

Also, Delphi said more than 70% in number of claimants and dollar amount of senior note claims, TOPrs claims and trade claims voted to accept the plan.

According to court documents, 251, or 73.82% in number, holders of $1.191 billion, or 70.78% in amount, of senior notes claims voted to accept the plan, while 89 holders, or 26.18% in number, of $491.78 million, or 29.22% in amount, of these claims voted to reject it.

A total of 189, or 85.14% in number, holders of $298.83 million, or 96.42% in amount, of TOPrS claims voted to accept the plan, while 33 holders, or 14.86% in number, of $11.11 million, or 3.58% in amount, of these claims voted to reject it.

The company also said a class of subsidiary debtor Delphi Diesel Systems Corp.'s creditors voted to reject the plan.

In addition, depending on whether the U.S. Bankruptcy Court for the Southern District of New York allows other contested ballots to be counted, one class of subsidiary debtor Connection System creditors and one class of subsidiary debtor Delco Electronics Overseas Corp. may be deemed to have rejected the plan.

The company said the allowance of the contested ballots could cause a reduction in the percentage of dollar amounts voted in favor of the plan to below the required two-thirds acceptance threshold.

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

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