NetVersant Solutions Bankruptcy – Creditors’ Committee Appointed

The United States Trustee has appointed the members of the Official Committee of Unsecured Creditors in the NetVersant Solutions, Inc. bankruptcy cases.  The members of the Creditors’ Committee are as follows:

• Anixter, Inc.
• Westcon Group North America, Inc.
• Sprint Solutions, Inc.

View the notice of appointment and all other pleadings filed in the NetVersant bankruptcy here.  Try it for free and get $100 of free usage.

Pilgrim’s Pride Bankruptcy – Additional First Day Motions Filed

Pilgrim’s Pride Corp., which is one of the nation’s largest chicken producers and filed for bankruptcy on Monday, filed additional first day motions and applications Monday afternoon.  The following is the list of additional first day motions and applications filed (see an earlier posting for the initial first day motion and application filings):

• Application to Employ Baker & McKenzie LLP as Special Counsel Pursuant To 11 U.S.C. Section 327(e) Nunc Pro Tunc
• Application for Authorization to (a) Employ and Retain CRG Partners Group LLC to Provide the Debtors a Chief Restructuring Officer and Additional Personnel, and (b) to Designate William Snyder as The Chief Restructuring Officer for The Debtors Nunc Pro Tunc
• Application for Authorization to (I) Employ and Retain Kurtzman Carson Consultants LLC as Claims and Noticing Agent for the Debtors and (II) Appoint Kurtzman Carson Consultants as Agent of The Bankruptcy Court
• Application for an Order Authorizing the Employment and Retention of Lazard Freres & Co. LLC as Investment Banker for the Debtors Nunc Pro Tunc
• Motion To Establish and Implement Exclusive and Global Procedures for the Treatment of Reclamation Claims
• Motion For Authorization To Establish Procedures For Interim Monthly Compensation And Reimbursement Of Expenses Of Professionals
• Motion for Authorization to Pay Prepetition Common Carriers Fees, Logistics Coordinator Fees, Warehouse Fees, Freight Forwarding Fees and Repairmen Fees
• Motion for Authorization to Employ Professionals Utilized in the Ordinary Course Of Business Nunc Pro Tunc
• Motion to (I) Approve Debtors’ Proposed Form of Adequate Assurance; (II) Establish Procedures For Resolving Objections By Utility Companies; and (III) Prohibit Utilities From Altering, Refusing, Or Discontinuing Service
• Motion to Establish and Implement Exclusive and Global Procedures for Submitting and Resolving Claims Relating to Goods Received Within Twenty Days Prior to The Commencement Date

Hawaiian Telcom Communications – First Day Pleadings

As reported earlier, Hawaiian Telcom Communications, Inc. – Hawaii’s largest provider of telecommunications services – filed a voluntary petition under chapter 11 of the bankruptcy code in Delaware on Monday.  In addition, the company filed several motions and applications requesting relief from the bankruptcy court to pay certain obligations to employees, vendors and other important parties.  Included below is a list of all of the motions and applications filed by Hawaiian Telcom – click on the links to view copies of the pleadings and learn more.

• Motion for Joint Administration
• Motion for Entry of an Order Authorizing the Debtors to (A) Continue Using Their Existing Cash Management System, Bank Accounts and Business Forms; and (B) Maintain Existing Investment Practices
• Motion for Entry of an Order Authorizing Debtors (A) To Pay Certain Prepetition Wages, Salaries and Other Compensation, Reimbursable Employee Expenses and Employee Medical and Similar Benefits; and (B) To Continue Their Workers’ Compensation Program
• Motion for Entry of an Order Authorizing the Debtors to Maintain and Administer Customer Programs and Honor Prepetition Obligations Related Thereto
• Motion for Entry of Interim and Final Orders Authorizing the Debtors to Pay (A) in the Ordinary Course of Business, Claims for Goods Ordered Prepetition and Delivered Postpetition; and (B) Prepetition Claims of Shippers and Materialmen
• Motion for Entry of an Order Authorizing Debtors to Pay Certain Prepetition Taxes and Fees
• Motion for Continuation of Utility Service and Approval of Adequate Assurance of Payment to Utility Company Under Section 366(b)
• Motion for Entry of an Order Extending the Deadline to File Schedules of Assets and Liabilities, Schedules of Executory Contracts and Unexpired Leases and Statements of Financial Affairs
• Application to Employ/Retain Kurtzman Carson Consultants LLC as Notice and Claims Agent
• Motion for Entry of Interim and Final Orders Establishing Notification and Sell-Down Procedures for Trading in Claims against the Debtors’ Estate Nunc Pro Tunc to the Petition Date
• Declaration of Robert F. Reich, Senior Vice President, Chief Financial Officer and Treasurer of Hawaiian Telcom Communications, Inc., In Support of First Day Pleadings
• List of Creditors/Notice of Filing of Creditor Matrix
• Motion for Entry of Interim and Final Orders (A) Authorizing the Use of Cash Collateral, (B) Granting Adequate Protection to Prepetition Lenders and (C) Scheduling a Final Hearing

A hearing is scheduled for December 2, 2008 beginning at 4:00 p.m. (Eastern) for the bankruptcy court to consider Hawaiian Telcom’s first day motions.

Hawaiian Telcom Communications Files for Bankruptcy

Hawaiian Telcom Communications, Inc., the leading provider of telecommunications services in Hawaii, and certain of its affiliates filed chapter 11 bankruptcy petitions in the United States Bankruptcy Court for the District of Delaware on Monday.  Hawaiian Telcom became a stand-alone telecommunications provider in 2005 after Carlyle Partners III Hawaii, L.P., CP Coinvestment III, L.P., and Carlyle Hawaii Partners, L.P. purchased the Hawaiian telecommunications business of Verizon Communications, Inc. 

Hawaiian Telcom blamed the filing on its inability to reach agreement on certain initiatives designed to improve the company’s operating results and reduce its debt.  In addition, the company stated that it has faced significant challenges resulting from its inability to keep pace with evolving telecommunications technologies, difficulties with respect to the transition of certain back-office functions from Verizon, and problems satisfying its capital expenditure needs while meeting its debt service requirements.

Key facts regarding the Hawaiian Telcom Communications filing:

• Assets: $1.352 billion
• Liabilities: $1.269 billion
• Employees: 1,450
• Counsel: Kirkland & Ellis LLP

Learn more about the Hawaiian Telcom Communications bankruptcy by downloading copies of the documents filed in the bankruptcy cases using netDockets.  Sign up now for a free trial and get $100 of free research.

Top Bankruptcy and Corporate Restructuring News (Dec. 1, 2008)

• From Bloomberg: Meghji Says Chapter 11 May Be `Efficient’ for Automakers: Video
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• From Bloomberg: Pilgrim’s Pride Files for Chapter 11 Bankruptcy Protection
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Pilgrim’s Pride Bankruptcy – First Day Relief Requested

Pilgrim’s Pride Corporation, one of the largest chicken producers in the United States and Mexico, filed for bankruptcy protection earlier today.  In addition, the company filed the following motions and applications (commonly referred to as “first day” motions) seeking relief from the bankruptcy court to, among other things, get financing and pay employees and vendors.  Click on the links below to download copies of the documents:

• Motion for Joint Administration of Cases
• Notice of Designation as Complex Chapter 11 Bankruptcy Cases
• Declaration of Richard A. Cogdill in Support of the Debtors’ Chapter 11 Petitions and First Day Motions
• Motion For (I) A Waiver Of The Requirement To File A List Of Creditors, (II) Authority to Establish Bar Dates At A Later Date And (III) Approval Of The Form and Manner of Notifying Creditors Of The Commencement Of The Debtors’ Chapter 11 Cases
• Motion Seeking Authority To Implement Certain Notice And Case Management Procedures
• Motion for an Extension of Time to File Schedules of Assets and Liabilities, Schedules of Executory Contracts and Unexpired Leases, and Statements of Financial Affairs
• Motion Confirming Administrative Expense Status to Debtors’ Undisputed Obligations Arising from the Postpetition Delivery of Goods or Postpetition Performance of Services Ordered in The Prepetition Period and Authorizing the Debtors to Pay Such Obligations in the Ordinary Course
• Motion (A) for Authorization to (i) Continue Using Existing Centralized Cash Management System, as Modified, (ii) Honor Certain Prepetition Obligations Related to the Use of the Cash Management System, and (iii) Maintain Existing Bank Accounts and Business Forms; and (B) for an Extension of Time to Comply with Section 345(b) of the Bankruptcy Code
• Motion for Authorization (I) To Pay Wages, Benefits, And Other Employee Obligations, And (II) For Financial Institutions To Honor and Process Checks and Transfers Related to Such Obligations
• Motion for Authorization to Pay Prepetition Sales and Use Taxes and Certain Other Governmental Assessments
• Motion for Authorization to Grant Liens to Participating Suppliers in Exchange for Extension of Trade Credit with Respect to Purchases of Feed Ingredients
• Motion (I) For Authorization to (A) Continue Their Workers’ Compensation, Liability, Property, and Other Insurance Programs, (B) Pay All Obligations in Respect Thereof and (C) Enter Into Premium Financing Agreements in The Ordinary Course of Business, and (II) for Authorization for Financial Institutions to Honor and Process Checks and Transfers Related to Such Obligations
• Motion for Authorization to Honor Prepetition Obligations to Customers and Otherwise Continue Customer Programs In The Ordinary Course Of Business
• Motion for Interim and Final Orders Authorizing (1) Borrowing with Priority Over Administrative Expenses and Secured by Liens on Property of the Estates , (2) the Debtors’ Use of Cash Collateral Including to Repurchase Receivables and Granting Adequate Protection therefor, (3) Modifying the Automatic Stay, and (4) Giving Notice of Final Hearing
• Motion for Authorization to Honor Prepetition Obligations to Growers
• Motion to Establish Critical Vendor Payment Procedures
• Motion for Authorization to Honor Prepetition Claims of Feed Ingredient Suppliers, Sales Brokers, and Catchers and Haulers

Pilgrim’s Pride Corp. Files for Bankruptcy in Texas

Pilgrim’s Pride Corporation and certain of its affiliates filed voluntary chapter 11 petitions in the United States Bankruptcy Court for the Northern District of Texas this morning.  Pilgrim’s Pride and its affiliates are one of the largest chicken producers in the United States and the second-largest chicken producer in Mexico.  The company’s operations in Mexico were not included in today’s chapter 11 filing.

In a press release announcing the filing, the company’s president and CEO, Clint Rivers, described the reasons for the filing as follows:

“Over the past year, Pilgrim’s Pride has faced a number of significant challenges including high feed-ingredient costs, an oversupply of chicken, weak market pricing and softening demand. After careful consideration of all available alternatives, the Company’s Board of Directors determined that a Chapter 11 filing was a necessary and prudent step and the best way to obtain the financing necessary to maintain regular operations and allow for a successful restructuring. We expect to emerge from this restructuring a stronger, more competitive company that is well positioned for growth and enhanced profitability. We are proud of the consistently high quality of our products, our valued customer relationships and the high level of service we provide.”

Key facts about Pilgrim’s Pride:

• Assets: $3.75 billion
• Liabilities: $2.72 billion
• Annual Revenues: $8.5 billion
• Employees: 47,900
• Facilities (U.S.): 34 processing plants, 12 prepared food production facilities, 42 hatcheries, 31 feed mills, and 12 rendering plants
• Facilities (Mexico): 3 processing plants, 7 hatcheries, 4 feed mills, and 2 rendering plants 
• DIP Financing: $450 million, with the Bank of Montreal as lead agent

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