Printer Friendly

BANKRUPTCY COURT CONFIRMS STUARTS REORGANIZATION PLAN

 BANKRUPTCY COURT CONFIRMS STUARTS REORGANIZATION PLAN
 FRANKLIN, Mass., Oct. 13 /PRNewswire/ -- Stuarts Department Stores,


Inc. (NASDAQ: STUSQ) and its wholly owned subsidiary, S.D.S., Inc. (collectively, the "company") announced today that the U.S. Bankruptcy Court in Western Massachusetts confirmed its plan of reorganization. The plan, which was jointly proposed by the company and the Official Committee of Unsecured Creditors, provides for payment to unsecured creditors in the form of three cash payments aggregating approximately 36 percent of the total amount of allowable unsecured claims as follows: $5.2 million upon consummation; $6 million on Dec. 31, 1992; and $5 million on Dec. 31, 1993. The plan also provides for the issuance of approximately 80 percent of the common stock of the reorganized company to unsecured creditors.
 Under the reorganized Stuarts, Joseph Ettore will serve as chairman and chief executive officer and Antone F. Moreira will be senior vice president and chief financial officer. Denis Lemire will continue as senior vice president-merchandising and David Ferguson, senior vice president-store operations. Upon consummation of the plan, a new seven- member board of directors will be appointed comprised of the following individuals: Joseph Ettore (chairman), Josh Goldberg, Joseph Stewart, Arnold Wachsberger, Marc Ostrow, Joseph Latigano and Joseph Hoffman.
 The plan was approved by the vote of 96.6 percent and 91.7 percent, respectively, of the creditors and stockholders of the company voting on the plan, and is expected to be consummated on or around Oct. 16, 1992. Ettore commented, "We are very pleased to be successfully emerging from Chapter 11 and wish to take this opportunity to thank our suppliers and employees for their continued support throughout this process."
 Stuarts Department Stores, Inc. operates 20 self-service discount department stores located in Massachusetts, New Hampshire, Rhode Island, Vermont and Maine, 19 under the name "Stuarts" and one under the name "Harry's". The company's stores sell a wide variety of general merchandise selected to satisfy the clothing, home, recreational and convenience needs of the blue collar and middle-income family.
 -0- 10/13/92
 /CONTACT: Antone F. Moreira of Stuarts, 508-520-4540/
 (STUSQ) CO: Stuarts Department Stores ST: Massachusetts IN: REA SU: BCY


CN -- NE018 -- 9518 10/13/92 16:47 EDT
COPYRIGHT 1992 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1992 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Oct 13, 1992
Words:367
Previous Article:KROGER SAYS REPORTS OF CONTRACT OFFER "INACCURATE"
Next Article:MOODY'S DOWNGRADES ROCKLAND COUNTY, NEW YORK GENERAL OBLIGATION RATING FROM 'Aa' TO 'A1'
Topics:


Related Articles
STUARTS AND THE CREDITORS' COMMITTEE ARE FILING A PROPOSED PLAN OF REORGANIZATION AND DISCLOSURE STATEMENT
STUARTS AND THE CREDITORS' COMMITTEE ARE FILING A PROPOSED PLAN OF REORGANIZATION AND DISCLOSURE STATEMENT
VOPLEX CORPORATION AND SUBSIDIARY FILE FIRST AMENDED JOINT PLAN OF REORGANIZATION UNDER CHAPTER 11
BALLY'S GRAND INC. PLAN OF REORGANIZATION CONFIRMED BY U.S. BANKRUPTCY COURT
TGX: BANKRUPTCY COURT ORDERS CONVERSION OF REORGANIZATION PLAN
STUARTS REPORTS A PROFIT FOR THE SECOND QUARTER AND REDUCES NET LOSS IN THE FIRST HALF OF THE YEAR
Stuart Entertainment Receives Court Approval for $30 Million Financing and Relocation of Headquarters to Minneapolis.
/C O R R E C T I O N -- TelePad Corporation/.
Kmart Corporation Joint Plan of Reorganization Accepted by Creditors; Confirmation Hearing to Begin Today.

Terms of use | Copyright © 2016 Farlex, Inc. | Feedback | For webmasters