New Delaware Chapter 11 Filing – Cloud Peak Energy Inc. et al.
Cloud Peak Energy Inc. (OTCMKTS: CLDP), along with twenty-eight subsidiaries and affiliates, has filed a petition for relief under chapter 11 in the Bankruptcy Court for the District of Delaware (Lead Case No. 19-11047). Cloud Peak, headquartered in Gillette, WY, owns and operates three coal mines in the Powder River Basin. According to a press release from the Debtors, Cloud Peak enters chapter 11 having entered into a plan support agreement (attached to the First Day Declaration as Exhibit C) with holders of approximately 62% in dollar amount of the Company’s secured notes due 2021 and more than 50% in dollar amount of the Company’s unsecured notes due 2024. The First Day Declaration explains that the plan support agreement contemplates a sale of substantially all of the Debtors’ assets under section 363 of the Bankruptcy Code. Prime Clerk is the proposed claims and noticing agent. The cases have been assigned to the Honorable Kevin Gross.
Contact Norman L. Pernick, G. David Dean or Myles R. MacDonald for more information regarding this matter.
As the law continues to evolve on these matters, please note that this article is current as of date and time of publication and may not reflect subsequent developments. The content and interpretation of the issues addressed herein is subject to change. Cole Schotz P.C. disclaims any and all liability with respect to actions taken or not taken based on any or all of the contents of this publication to the fullest extent permitted by law. This is for general informational purposes and does not constitute legal advice or create an attorney-client relationship. Do not act or refrain from acting upon the information contained in this publication without obtaining legal, financial and tax advice. For further information, please do not hesitate to reach out to your firm contact or to any of the attorneys listed in this publication.