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DELAWARE BANKRUPTCY COURT CONFIRMS EDISTO RESOURCES CORPORATION'S PLAN OF REORGANIZATION

 DALLAS, Texas, May 28 /PRNewswire/ -- Edisto Resources Corporation (AMEX: EDS), today announced that the United States Bankruptcy Court for the District of Delaware has signed an order confirming the company's plan of reorganization in its Chapter 11 case instituted on Oct. 26, 1992. Edisto had previously received the approval from each class of its debt and equity securities entitled to vote on the plan. While numerous conditions are still to be met, the company nevertheless anticipates that the plan could become effective as early as late June.
 Major provision of Edisto's plan of reorganization to be implemented on the effective date of the Plan include:
 (i) a 1-for-20 reverse split of its common stock, with the current
 holders retaining 10 percent of the shares to be outstanding
 post-split. Existing holders of the common stock will also
 receive approximately 1.5 warrants for each share of common
 stock received. The warrants will have a three-year term and
 an exercise price of approximately $0.49 per share ($9.74 post-
 split), which if fully exercised, would result in existing
 holders owning 22 percent of the outstanding shares of common
 stock;
 (ii) issuance to holders of NRM Energy 13-7/8 percent notes due
 1999, (which claims amount to approximately $113 million in
 principal and accrued interest), common stock in the amount of
 approximately 113 shares in exchange for each $1,000 in
 principal face amount, which in the aggregate, will represent
 approximately 90 percent of the shares to be outstanding;
 (iii) the redemption in cash of the remaining $2.60 senior cumulative
 convertible preferred stock outstanding for approximately
 $21.51 per share, including accumulated unpaid dividends; and
 (iv) the consolidation and restructuring of Edisto's outstanding
 loans with Chemical Bank, which at effective date are estimated
 to be less than $20 million.
 Edisto Resources Corporation's consolidated activities include the production of oil and gas, the exploration and development of oil and gas reserves and natural gas marketing and transportation.
 -0- 5/28/93
 /CONTACT: Gary L. Pittman, vice president-financial services of Edisto Resources, 214-880-0243/
 (EDS)


CO: Edisto Resources Corporation ST: Texas IN: OIL SU: BCY

PS -- NY038 -- 3438 05/28/93 14:16 EDT
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Publication:PR Newswire
Date:May 28, 1993
Words:360
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