U.S. Tobacco receives extension of exclusive period to file plan

By Sarah Lizee

Olympia, Wash., Dec. 8 – U.S. Tobacco Cooperative Inc. secured an extension of its exclusive periods to file a Chapter 11 plan, according to an order filed Wednesday with the U.S. Bankruptcy Court for the Eastern District of North Carolina.

Specifically, the court extended the plan-filing period through May 3 from Jan. 3.

The company said in its motion that at this point, the only unresolved objection to the disclosure statement is that of the Lewis class. The disputes between the debtors and the Lewis class will be the subject of a mediation process scheduled for Jan. 31 and Feb. 1.

The court originally set a disclosure statement hearing for Nov. 30. Due in large part to the timing of the plan mediation process, the parties agreed to an adjournment of this hearing to Feb. 8.

The company said its original confirmation timeline will need to be pushed back to account for the mediation process and the adjournment.

“If successful, the mediation process could result in a net savings to the debtors’ estates and a potential expediting of the plan confirmation process, which would benefit the entire creditor body,” the company said in its motion.

Raleigh, N.C.-based U.S. Tobacco is the largest tobacco cooperative in the United States. It filed bankruptcy on July 7 under Chapter 11 case number 21-01511.

© 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.