Delphi looks to extend exclusivity beyond plan effective date 'out of an abundance of caution'

By Caroline Salls

Pittsburgh, April 11 - Delphi Corp. asked the U.S. Bankruptcy Court for the Southern District of New York to further extend its exclusive plan of reorganization filing period to 30 days after its confirmed plan takes effect, according to a Thursday court filing.

In addition, Delphi is asking the court to extend the exclusive vote-solicitation period to 90 days after the plan effective date.

According to the motion, only one plan can be confirmed in a case under bankruptcy law, but the company said it is requesting the extension "out of an abundance of caution" to prevent any lapse in exclusivity.

The exclusive plan-filing period is set to expire on May 31 and the solicitation period on July 31.

As previously reported, Delphi's Appaloosa-led plan investors terminated their investment agreement last week, keeping the company from emerging from bankruptcy as planned on April 4. Delphi is considering filing a lawsuit to force the investors to honor their commitment.

A hearing on the exclusivity extension is scheduled for April 30.

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

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