Bankruptcy judge approves reorganization plan of yellow pages publisher R.H. Donnelley
By APTuesday, January 12, 2010
Judge approves R.H. Donnelley bankruptcy exit plan
CARY, N.C. — R.H. Donnelley said Tuesday a bankruptcy judge has approved its reorganization plan, which will allow the yellow pages publisher to emerge from court protection by the end of the month.
R.H. Donnelley filed for Chapter 11 bankruptcy court protection in May as the recession dragged down revenue and left it unable to sustain its debt payments.
Under the plan, the company can reduce its $12.4 billion in debt by $6.4 billion.
It would also get rid of about $500 million in annual interest expenses.
More than 96 percent of creditors who voted approved the plan. R.H. Donnelley said it would begin paying back creditors by the end of January.
R.H. Donnelley is based in Cary, N.C.
Its bankruptcy case was filed in Delaware.
