Impact Story: Restructuring

A $700 million publicly traded print and marketing company filed for Chapter 11 bankruptcy protection. Several months after filing, the Company sold most of its operating assets to a competitor for $300 million.

The Challenge

In connection with the asset sale, the acquirer hired all of the company’s employees. The Company needed a new Chief Restructuring Officer to oversee the orderly wind-down of the Estate, including:

  • Over 2,500 claims filed against the Estate
  • Numerous office leases throughout the U.S. with furniture and equipment on-site
  • Several large facilities with potential environmental issues
  • The Company needed a Plan of Liquidation
  • Oversight of professionals and management of cash receipts and disbursements
  • On-going financial reporting to bankruptcy court and other stakeholders
  • Potential preference actions
  • Final federal and state tax returns needed to be completed and filed

The Solution

  • WilliamsMarston was appointed Chief Restructuring Officer (CRO) by the Estate’s Board of Directors.
  • As CRO, WilliamsMarston managed cash on-hand including all cash receipts and disbursements in the ordinary course. Prepared cash flow projections and monthly operating reports.
  • Reviewed office leases to determine which should be assumed or rejected and managed the sale or disposal of numerous assets.
  • Negotiated with secured lenders to facilitate a final settlement.
  • Reviewed and reconciled over 2,500 claims and facilitated objections to numerous invalid claims
  • Prepared Plan of Liquidation and successfully facilitated its confirmation by the Bankruptcy court.
  • Oversaw the preparation and filing of final federal and state tax returns.

The Result

Upon confirming the Plan of Liquidation with the Bankruptcy court, WilliamsMarston was retained by the unsecured creditors committee to support the remaining efforts to wind-down the Company’s affairs culminating in a favorable distribution to the general unsecured creditors.