Home / Knowledge / News / Apparel/Garments / Court OKs Eddie Bauer DIP loan facility
Court OKs Eddie Bauer DIP loan facility
09
Jul '09
Eddie Bauer Holdings Inc announced that it has received approval from the U.S. Bankruptcy Court in Delaware of a number of key motions further facilitating the Company's ability to continue normal operations as it moves forward with its sale process.

Among other things, the Company received final authorization to utilize its $100 million Debtor-in-Possession (DIP) loan facility from its existing revolving credit lenders, Bank of America N.A., GE Capital Corporation and CIT Group/Business Credit Inc, and to use its cash collateral to meet certain ongoing obligations to employees, customers, suppliers and other key constituents.

The Company also received final Court approval to continue to pay its employees in the usual manner, including prepetition wages and salaries, and to pay independent contractor fees and expenses.

The Court had previously granted, in a hearing on June 18, 2009, interim approval for the Company to access $90 million of the $100 million DIP facility, along with interim or final approval of other relief requested by the Company in its "First Day" motions.

"With the Court's rulings, we continue on track to conduct business as usual as we proceed with our sale process," said Neil Fiske, President and Chief Executive Officer. "The new DIP financing provides liquidity to meet our ongoing obligations, and we appreciate the strong support we have seen from our employees, customers and suppliers. We remain confident that we are on the right path to put Eddie Bauer in a stronger financial position for the future."

On June 17, 2009, the Company announced that it had initiated voluntary proceedings under Chapter 11 in the United States and the CCAA in Canada in order to pursue a sale of the business. The case is pending before the Honorable Mary F. Walrath in the U.S. Bankruptcy Court for the District of Delaware.

The Company has entered into an asset purchase or "stalking horse" agreement with an affiliate of CCMP Capital Advisors, LLC ("CCMP Capital") to buy the Company's assets, subject to an auction and Bankruptcy Court approval. The Court has set July 16, 2009 as the auction date, with a hearing to be held on July 22, 2009 to approve a sale.

Eddie Bauer Holdings Inc


Must ReadView All

Textiles | On 24th Jul 2017

Gartex all set to feature garment, textile solutions

Complete value chain of garment and textile manufacturing solutions...

Courtesy: Abercrombie & Fitch

Apparel/Garments | On 23rd Jul 2017

Abercrombie & Fitch launches products on Alibaba Tmall

Abercrombie & Fitch has announced the launch of Abercrombie & Fitch...

Apparel/Garments | On 23rd Jul 2017

NRF urges Congress to reject border adjustment tax

The National Retail Federation has urged Congress to reject a...

Interviews View All

Rahul Bhadani
Looksgud

Navigating through catalogues is a bit hasslesome

Stefan Warnaar
Peak to Plateau

People are willing to pay for quality and performance

Awen Delaval
Samatoa

'Natural fibres are appreciated for traditional authenticity'

Eamonn Tighe
Nature Works LLC

Eamonn Tighe, Fibres and Nonwovens - Business Development Manager of...

Eric Scholler
Groz-Beckert

The Indian market has huge potential in technical textiles, and by far,...

Giorgio Mantovani
Corman S.p.A

Giorgio Mantovani, MD of Corman, with a presence in both Milano and New...

Yash P. Kotak
Bombay Hemp Company

One of the directors of Bombay Hemp Company, Yash P. Kotak, speaks to...

Tony Ward
Tony Ward

"You have to truly understand what your client wants, know her needs, what ...

Bani Batra

Bani Batra’s couture wedding collection is inspired by traditional Indian...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

July 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Thanks for your valuable feedback. Claim your free latest sustainability e-book.


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search



X