WARSAW, Poland, April 9, 2013 /PRNewswire/ -- Central European
Distribution Corporation (NASDAQ: CEDC) announced that following
CEDC's first day hearing, which occurred today, the Delaware
Bankruptcy Court scheduled a hearing to consider confirmation of
the Prepackaged Plan of Reorganization (the "Plan") on May 13, 2013. Voting on the Plan closed on
April 4, 2013. According to the
official vote tabulation prepared by CEDC's voting and information
agent, impaired creditors have voted overwhelmingly to accept the
Plan. On April 7, 2013, CEDC
commenced voluntary proceedings under Chapter 11 of the U.S.
Bankruptcy Code to seek confirmation of the Plan.
CEDC also announced today that Roust Trading Ltd. ("Roust
Trading") has informed CEDC that Roust Trading intends to make an
aggregate $5 million payment to all
existing stockholders of CEDC, including Roust Trading, as of
April 5, 2013, if the Plan is
confirmed by the Delaware Bankruptcy Court. This payment, if made,
would not affect the other recoveries currently indicated under the
Plan and will only be provided on the condition that it does not
otherwise impede or slow down the approval and consummation of
the Plan and is agreeable to the Delaware Bankruptcy Court. Roust
Trading continues to work with its advisors, as well as the
advisors to CEDC, to assess its ability to make this payment and no
assurance can be given by CEDC, Roust Trading or any other party
that this payment will actually be made.
The financial restructuring, which will eliminate approximately
$665.2 million in debt from CEDC's
and CEDC FinCo's balance sheets, does not involve the Company's
operating subsidiaries in Poland,
Russia, Ukraine or Hungary and should have no impact on their
business operations. Operations in these countries are
independently funded and will continue to generate revenue during
this process. All obligations to employees, vendors, credit support
providers and government authorities will be honored in the
ordinary course without interruption.
The terms of the Plan are described in the Amended and Restated
Offering Memorandum, Consent Solicitation Statement and Disclosure
Statement, dated March 8, 2013 (the
"Offering Memorandum"), filed as an exhibit to a tender offer
statement on Schedule TO-I/A on March 8,
2013, as amended and supplemented by Supplement No. 1 to the
Offering Memorandum, dated March 18,
2013 (the "Supplement"), filed as an exhibit to the Form 8-K
filed on March 19, 2013.
SOURCE Central European Distribution Corporation