Chapter 11 Plan of Reorganization receives near unanimous acceptance.
Operating more than 140 distribution centres, including 25 in Canada, American Tire Distributors (ATD) has announced the voting results for its Chapter 11 Plan of Reorganization.
ATD said in a release that their Plan received approval far exceeding the required thresholds, including 100% of voting term loan lenders, 98% of voting bondholders, and 100% of voting shareholders.
“The voting results we are announcing today reflect the strong confidence that our financial stakeholders have in ATD’s business and the actions we are taking to lead our industry forward,” said Stuart Schuette, Chief Executive Officer of ATD. “The support of our financial stakeholders has enabled us to move through this process on an expedited basis. We are now entering the final phase of this process and are poised to move forward as a stronger company that is even better positioned to help our customers continue thriving and driving into the future.”
If approved, the ATD’s recapitalization will reduce its debt by more than $1.1 billion. A confirmation hearing is scheduled for later today.