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Published on 8/9/2011 in the Prospect News Distressed Debt Daily.

Former Bowe Bell + Howell appeals retiree benefits, committee ruling

By Caroline Salls

Pittsburgh, Aug. 9 - Mail Systems Liquidation, Inc., formerly Bowe Bell + Howell, has appealed a court order that partially approved a motion for reinstatement of retiree benefits and appointment of an official retiree committee, according to a Tuesday filing with the U.S. Bankruptcy Court for the District of Delaware.

As previously reported, judge Peter J. Walsh ordered Mail Systems Liquidation and its creditors to negotiate with a retiree committee over a $7.3 million fund established to offset health care costs for the retirees, their spouses and other dependents

Specifically, the judge ordered the U.S. Trustee to appoint an official non-union retiree committee "to negotiate for the limited resources that remain."

"The retirees have a right to representation here," Walsh said.

But he stopped short of agreeing to a request that the retirees' claim be classified as a priority administrative claim.

Bowe Bell & Howell, a Wheeling, Ill., provider of high-performance document management services, filed for bankruptcy on April 18. The Chapter 11 case number is 11-11187.


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