Chalco Industries makes announcement.CHATSWORTH, Calif.--(BUSINESS WIRE)--Nov. 1, 1994--Chalco Industries Inc. (the company) announced the following developments with respect to the bankruptcy proceedings bankruptcy proceedings n. the bankruptcy procedure is: a) filing a petition (voluntary or involuntary) to declare a debtor person or business bankrupt, or, under Chapter 11 or 13, to allow reorganization or refinancing under a plan to meet the debts of the party of its wholly owned subsidiary Wholly Owned Subsidiary A subsidiary whose parent company owns 100% of its common stock. Notes: In other words, the parent company owns the company outright and there are no minority owners. , Chalco- California Corp. (CCC CCC A very speculative grade assigned to a debt obligation by a rating agency. Such a rating indicates default or considerable doubt that interest will be paid or principal repaid. Also called Caa. ). CCC filed a voluntary petition for relief under Chapter 11 of the United States Bankruptcy Code on Dec. 20, 1993. CCC filed a plan of reorganization with the United States Bankruptcy Court bankruptcy court n. the specialized Federal court in which bankruptcy matters under the Federal Bankruptcy Act are conducted. There are several bankruptcy courts in each state, and each one's territory covers several counties. on May 17, 1994, but such plan was withdrawn by CCC on Aug. 18, 1994. CCC attempted to formulate a revised plan of reorganization for submission to its creditors, but terminated such efforts when it determined that the continuing business operations were not sufficient to support a reorganization. As a result, in October 1994, and with the approval of the Bankruptcy Court, CCC commenced the liquidation of its assets. Such liquidation includes the continuation of work on certain jobs in progress in order to maximize the value of such assets. However, the aggregate liquidation value Liquidation value Net amount that could be realized by selling the assets of a firm after paying the debt. of CCC's assets is substantially less than the amount of its aggregate liabilities. Since CCC is the sole asset of the company, the effect of the liquidation of CCC will be to terminate all business activities of the company, and there will be no distribution of any kind to the company's stockholders in connection with such liquidation. CONTACT: Chalco Industries Inc., Chatsworth Steven Kierman, 818/882-6773 |
|
|||||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion