Printer Friendly

LTV PLAN OF REORGANIZATION CONFIRMED BY BANKRUPTCY COURT

 CLEVELAND, May 27 /PRNewswire/ -- The U.S. Bankruptcy Court for the Southern District of New York last night confirmed The LTV Corporation's Chapter 11 Plan of Reorganization. Court approval followed a favorable vote by the company's major creditor groups and its shareholders.
 "We have all looked forward to the day our Plan of Reorganization would be confirmed. The Plan resolves the problems of the past and creates a new, competitive LTV capable of creating value for its new shareholders," said David H. Hoag, LTV chairman and chief executive officer.
 The effective date for the conclusion of LTV's Chapter 11 bankruptcy is expected to occur in June, following completion of necessary documentation.
 The distribution record date for holders of LTV securities entitled to receive recoveries will coincide with the effective date. Distribution of cash, stock and other forms of recovery to creditors and shareholders will commence following the effective date.
 Confirming the Plan, Judge Burton Lifland found that the LTV Plan of Reorganization was in the best interest of the company's creditors.
 The Plan of Reorganization confirmed last night provides for the resolution of more than $3 billion of unfunded pension liabilities and $6 billion of claims.
 Unfunded pension liabilities were settled through an agreement with the Pension Benefit Guaranty Corporation which provides for the complete funding of three defined benefit steel pension plans. Under the agreement, LTV will make an immediate contribution to its pension plans of not less than $850 million in cash, plus other assets, followed by a flexible schedule of annual payments for the next 30 years.
 The majority of LTV's pre-Chapter 11 claims will be settled with shares of new stock in the reorganized company. All shares of The LTV Corporation (NYSE: QLTV) issued on or prior to the effective date will be canceled under the terms of the Plan of Reorganization.
 The new LTV Corporation now consists of LTV Steel, the nation's third-largest integrated steel company, and LTV Energy Products Company, a leading producer of oilfield components and distributor of industrial supplies.
 -0- 5/27/93
 /CONTACT: Mark R. Tomasch, 216-622-4635, or Charles Palmer, 214-979-7941, both of LTV/
 (QLTV)


CO: LTV Corporation ST: Ohio IN: MNG SU: BCY

BM -- CL007 -- 3680 05/27/93 10:15 EDT
COPYRIGHT 1993 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1993 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:May 27, 1993
Words:372
Previous Article:COMMERCIAL INTERTECH CORP. ADDENDUM TO SECOND QUARTER SALES
Next Article:REGISTRATION STATEMENT FILED IN CONNECTION WITH SECONDARY OFFERING BY DOW OF MAGMA STOCK
Topics:


Related Articles
LTV FILES MODIFIED CHAPTER 11 PLAN OF REORGANIZATION
LTV REORGANIZATION PLAN SEEN AS MAJOR STEP FORWARD
LTV REPORTS $138.6 MILLION SECOND QUARTER INCOME
LTV REPORTS $138.6 MILLION SECOND QUARTER INCOME
LTV REPORTS $138.6 MILLION SECOND QUARTER INCOME
LTV FILES DISCLOSURE STATEMENT AND MODIFIED PLAN OF REORGANIZATION
COURT APPROVES LTV CORPORATION'S REORGANIZATION PLAN DISCLOSURE STATEMENT
LTV REPORTS IMPROVED FIRST QUARTER RESULTS FROM CONTINUING OPERATIONS
LTV EMERGES FROM CHAPTER 11; NYSE APPROVES TRADING OF NEW SHARES
LTV PENSION FUNDING SUBSTANTIALLY IMPROVED

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