Home / Knowledge / News / Apparel/Garments / Orchard Brands receives Court Approval of First Day Motions
Orchard Brands receives Court Approval of First Day Motions
Jan '11
Appleseed's Intermediate Holdings LLC and each of its domestic subsidiaries, which do business in the United States as “Orchard Brands”, announced that it received approval from the U.S. Bankruptcy Court for the District of Delaware for the Company's “first day” motions that will enable the Company's operations to proceed smoothly and without interruption throughout its reorganization case.

Among the first day motions granted, Orchard Brands received interim approval to access the Company's $140 million debtor-in-possession financing provided by its current lenders and to use its cash resources. The Company also received approval to continue to pay employees' salaries, wages, and benefits in the ordinary course, and the Court confirmed the Company's ability to pay vendors for post-petition goods and services. In addition, the Company received approval to allow all customer programs to continue uninterrupted.

Neale Attenborough, Orchard Brands' Chief Executive Officer, said: “We are pleased that the Court has promptly granted these motions, which ensures the Company will be able to continue to operate business as usual, and emerge from this process as quickly as possible with a capital structure that will firmly position us for long-term success.”

As previously announced, the Company initiated voluntary chapter 11 reorganization proceedings on January 19, 2011 after reaching agreement with over 80% of its first lien secured lenders and 100% of its second lien secured lenders on the terms of a pre-arranged plan of reorganization that will eliminate approximately $420 million of indebtedness and improve the Company's operating flexibility.

Certain of the Company's secured lenders have also agreed to invest $40 million of new capital through the chapter 11 plan. The Company intends to move forward with the restructuring on an expeditious basis and complete the restructuring process in approximately three to four months. The Company also secured a commitment from its current lenders to provide up to $120 million in exit financing to consummate its chapter 11 plan.

The Company is being advised by Kirkland & Ellis LLP, its legal counsel, and Alvarez & Marsal and Moelis & Company, its financial advisors.

The Company's ABL lenders are being advised by Winston & Strawn LLP, as legal counsel, and FTI Consulting, as financial advisor. The Company's first lien lenders are being advised by Sidley Austin LLP, as legal counsel, and Loughlin Meghji + Company, as financial advisor. The Company's second lien lenders are being advised by Kramer, Levin, Naftalis, & Frankel LLP, as legal counsel, and Miller Buckfire & Co., as financial advisor.

Orchard Brands

Must ReadView All

President Donald Trump; Courtesy: White House

Textiles | On 24th Jan 2017

US sets ball rolling for withdrawal from TPP

President Donald Trump has set the ball rolling for withdrawal of the ...

Textiles | On 24th Jan 2017

Indian cotton consumption estimated at 290 lakh bales: CAI

The domestic consumption of cotton during the crop season 2016-17...

Stefano Gallucci (left), CEO, Santex Rimar Group, and Tamer Hasbay, President, Has Group; Courtesy: Santex Rimar

Textiles | On 24th Jan 2017

Santex Rimar to market all Has products globally

Italy based Santex Rimar Group has signed an agreement with Turkey...

Interviews View All

Jurgen Gauger

‘Buying crowdsourced or creative designs are much more appealing to the...

Cyril Pereira
Reed Exhibitions India, organiser of Asian Machine Tool Exhibition 2016

'Major problem in the textile machinery manufacturing industry is the lack ...

Sunil Kumar Sharma
Loknayak JPNSSSG Ltd

'The blend of cotton–linen yarn has high demand in the domestic and...

Paolo Ocleppo
Sandvik Hyperion

Paolo Ocleppo, Rotary Cutting Segment manager, Sandvik Hyperion discusses...

Ashok Desai
Bombay Textile Research Association

Bombay Textile Research Association (BTRA) is a leading name in textile...

Larry L Kinn
Suominen Corporation

Larry L Kinn, Senior Vice President - Operations Americas of Suominen...

Tony Ward
Tony Ward

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

Ritu Kumar
Label Ritu Kumar

‘Classics will return’ "There are a lot of people wearing western clothes ...

Igor Chapurin

"Now we can see the Russian trend in international fashion. And Russian...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


Letter To Editor

(Max. 8000 char.)

Search Companies

January 2017

January 2017

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


Browse Our Archives


Subscribe today and get the latest News update in your mail box.
Advanced Search