Colt Defense Announces Court Confirmation of Plan of Reorganization

By Justin Stakes

Iconic American Company Set to Emerge from Chapter 11 by Year End

West Hartford, CT -(AmmoLand.com)- Colt Defense, LLC (“Colt” and the “Company”) today announced that the United States Bankruptcy Court for the District of Delaware (the “Court”) has confirmed the Company’s Second Amended Joint Plan of Reorganization (“the Plan”).

The Plan received full support from all of the Company’s stakeholders. Upon completion of the restructuring process, which is expected to occur in the coming weeks, the Plan will significantly restructure and reduce the Company’s debt, improve its capital structure and enhance its liquidity profile. The Company will also have a new lease for its West Hartford Facility and the Plan reaffirms the Company’s strong relationship with the UAW.

The Plan finalizes a global settlement of all outstanding issues in the cases, achieved through a consensus reached among Colt’s key stakeholders, including a consortium of Colt’s secured lenders, Morgan Stanley as the lender under Colt’s pre-petition and post-petition secured term loan facilities, the official committee of unsecured creditors appointed in Colt’s bankruptcy cases, Sciens Capital Management and the landlord at Colt’s West Hartford facility.

In conjunction with today’s …Read the Rest

Source:: AmmoLand