Smart Papers files for Bankruptcy.
SMART PAPERS FILES FOR BANKRUPTCY. Smart Papers LLC, Hamilton, Ohio, USA and certain of its affiliates announced they have filed voluntary petitions for relief under Chapter 11 of the U.S. Bankruptcy Code with the United States Bankruptcy Court for the District of Delaware. SMART Papers also filed motions with the Court seeking immediate relief to ensure the company's continued ability to conduct normal operations. The case was filed late yesterday afternoon. The company said Chapter 11 protection will enable it to address its financial challenges and become a more efficient, cost-effective manufacturer and supplier of printing papers in North America.
SMART Papers said it expects to continue operations at its Hamilton, Ohio, paper-making center, and its Buena Park, California distribution facility, as well as through its affiliate's West Chicago, Illinois distribution center, throughout the Chapter 11 process. To help support its business during the Chapter 11 proceedings, SMART Papers has obtained debtor-in-possession (DIP) financing from Wachovia Capital Finance, Ft. Lauderdale, and CIT Group, New York.