Printer Friendly

E-II HOLDINGS REACHES AGREEMENT IN PRINCIPLE ON OUTSTANDING DEBT

 E-II HOLDINGS REACHES AGREEMENT IN PRINCIPLE ON OUTSTANDING DEBT
 NEW YORK, June 25 /PRNewswire/ -- E-II Holdings, Inc., parent of Samsonite Corporation, Culligan International Company and McGregor Corporation, announced today that it has reached an agreement in principle with an ad hoc committee of holders of its 12.85 percent senior subordinated notes due 1997 and 13.05 percent subordinated debentures due 1999 and certain other significant holders of its debt securities on a comprehensive recapitalization of the company.
 Holders of a significant dollar amount of notes and debentures participated in negotiating the contemplated transactions. These bondholders expressed enthusiastic support for the plan.
 When effective, the plan is expected to provide for a distribution to the holders of the company's notes and debentures of cash, debt and substantially all the equity of the company.
 Under the agreement in principle, the company will retain full ownership of its independent operating subsidiaries, which include Samsonite, Culligan, McGregor and Pet Specialties.
 As a result of the agreement in principle, E-II expects to file a voluntary chapter 11 petition, accompanied by a plan of reorganization and related documents, within approximately thirty days. The company stated that a pre-arranged plan has always been anticipated as a concluding step in the restructuring process.
 The operating subsidiaries will not file for chapter 11 protection. The company further said its chapter 11 filing will have no effect on the continued operations of its independent subsidiaries. The subsidiaries have no responsibility for the debt of E-II and have always been separated from the restructuring.
 Steven Green, Chairman and Chief Executive Officer of E-II Holdings, stated
today: "I am pleased that an agreement in principle has been reached with our major creditors to restructure the outstanding debt that burdened E-II when my management team assumed control in December 1990."
 "Eighteen months ago we set out to resolve the company's heavy debt load and to reposition our independent operating subsidiaries for significant growth. During that time, Samsonite, Culligan and McGregor have increased sales, market share and have undertaken aggressive international expansion programs. With today's announcement, we have taken a significant step towards accomplishing both objectives," added Green.
 E-II Holdings, Inc. is a holding company with subsidiaries engaged in the manufacture and sale of a variety of consumer products throughout the world. E-II's core businesses are as follows: Samsonite, luggage; Culligan, water treatment equipment; McGregor, including The 500 Fashion Group, men's tailored clothing, Anvil, T-Shirts, Global Licensing, licensing trademarks; and Pet Specialties, pet food.
 -0- 6/25/92 R
 /CONTACT: Michael Kempner or Stan Steinreich of MWW/Strategic Communications, Inc. Public Relations, 201-342-9500, for E-II Holdings/ CO: E-II Holdings, Inc. ST: New York IN: HOU SU:


GK -- NY048R -- 3842 06/25/92 13:59 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:Jun 25, 1992
Words:452
Previous Article:NEWCOR ANNOUNCES INTENT TO PURCHASE MIDWEST RUBBER COMPANY
Next Article:FORD ANNOUNCES SERVICE ACTION
Topics:


Related Articles
NEW VALLEY CORPORATION REACHES AGREEMENT WITH PBGC AND REGISTERS PREPACKAGED CHAPTER 11 REORGANIZATION PLAN
THE KENDALL COMPANY REACHES AGREEMENT IN PRINCIPLE ON FINANCIAL RESTRUCTURING PLAN
E-II HOLDINGS: INVOLUNTARY FILING HAS NO IMPACT ON REORGANIZATION PLAN AND OPERATIONS OF ITS SUBSIDIARIES
E-II HOLDINGS REACHES AGREEMENT IN PRINCIPLE ON OUTSTANDING DEBT
MS/ESSEX HOLDINGS ENTERS INTO MERGER AGREEMENT
CITIBANK BRAZILIAN PAST-DUE INTEREST BOND AGREEMENT DATE SET
USG REACHES AGREEMENT WITH 2 OF 3 CREDITOR GROUPS & LARGER INVESTORS ON TERMS OF DEBT RESTRUCTURING; SEC FILING AND SOLICITATION TO COMMENCE
ENVIROMINT AND SELLERS OF CAN-PACTOR PATENTS SIGN SETTLEMENT AGREEMENT; COURT ORDERS STANDSTILL IN LITIGATION
Reliant Building Products Announces Amended Financial Restructuring.
G+G Retail, Inc. Announces Agreement in Principle.

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