Chapter 11 Reorganization Cases
Debtor Representation

Richards, Layton & Finger has substantial experience in representing significant debtors in chapter 11 reorganization cases in the District of Delaware. For example, our firm has served as counsel to each of the following chapter 11 debtors:

  • American Pad & Paper Company, one of the largest manufacturers and marketers of nationally branded and private label paper-based office products in North America
  • Armstrong World Industries, Inc., a leader in the design, manufacture, and sale of interior furnishings, most notably floor coverings and ceiling systems
  • Brothers Gourmet Coffees, Inc., an integrated sourcer, roaster and nationwide distributor of high quality gourmet coffee products
  • Burlington Industries, Inc., one of the world’s largest and most diversified manufacturers of softgoods for apparel and interior furnishings
  • Carmike Cinemas, Inc., the largest motion picture exhibitor in the United States in terms of the number of theaters operated
  • CellNet Data Systems, Inc., a developer of large-scale networks of wireless communications
  • Converse Inc., a leading global designer, manufacturer and marketer of high quality athletic footwear and a global licensor of sports apparel, accessories and selected footwear
  • FAO, Inc., and its wholly-owned subsidiaries, are leading specialty retailers of high quality developmental, educational and care products for infants and children, and high quality toys, games, books and multimedia products for children up to the age of 12
  • Fine Host Corporation, contract food service management company with operations nationwide
  • FoxMeyer Corporation, one of the largest wholesale drug distributors in the United States
  • G. Heileman Brewing Company, Inc., the fifth largest brewer of malt liquor in the United States
  • Hechinger Company, a leading retailer of products and services for the care, repair, remodeling and maintenance of the home and garden, that operated 206 stores
  • HQ Global Holdings, Inc., together with its subsidiaries are one of the largest providers of flexible officing solutions in the world based on the number of business centers
  • Imperial Home Decor Group, one of the largest wallcovering manufacturers in the world
  • Just for Feet, Inc., the leading operator of large format retail superstores specializing in brand-name athletic and outdoor footwear and apparel
  • Kaiser Aluminum Corp., together with its subsidiaries constitute one of the leading international producers and marketers of alumina, primary aluminum, and fabricated aluminum products
  • Key3 Media Group, Inc., together with its subsidiaries produce, manage and promote a portfolio of trade shows, conferences, and other events for the information technology industry
  • MEDIQ Inc., operator of the largest rental business in the United States of critical care, life support, and other medical equipment
  • Montgomery Ward Holding Corp., one of the largest retail merchandising organizations in the United States
  • NationsRent, Inc., is a leading provider of rental equipment in the United States and offers a comprehensive line of equipment for rent primarily to a broad range of construction and industrial customers, including general contractors, subcontractors, highway contractors, manufacturing plants and distribution centers
  • NII Holdings, Inc., f/k/a Nextel International, Inc., a major provider of wireless services targeted principally in Latin America
  • PennCorp Financial Group, Inc., a publicly held life insurance company
  • PHP Healthcare Corporation, a medical management company that operated in 24 states
  • Pic ‘N Pay Stores, Inc., a leading value-priced, self-service retailer of men’s, women’s and children’s shoes, operating approximately 800 stores in 20 states
  • Premium Standard Farms, Inc., the largest vertically integrated provider of pork and pork products in the Midwest and the fourth largest owner of sows in the United States
  • Purina Mills, Inc., the largest animal feed manufacturer in the United States
  • PWS Holding Corporation and Bruno’s, Inc., a two hundred store supermarket chain
  • Questron Technology, through its subsidiaries provides supply chain management solutions and inventory logistics management services for small parts to customers seeking inventory management and “just in time” inventory solutions
  • Silas Creek Retail, L.P., the fourth largest retailer of fabrics and crafts in the United States
  • Slater Steel U.S., together with its affiliates, is a mini-mill producer of specialty steel products serving a diverse range of industrial and consumer customers
  • Sun Healthcare Group, Inc. and Mariner Post-Acute Network, Inc., both of which are leading providers of high quality and cost efficient long-term, subacute, and related specialty healthcare services in the United States
  • Taren Holdings, Inc., previously one of the largest producers of moderate and better-priced swimwear in the United States
  • Teleglobe Communications Corp., a wholly-owned subsidiary of Teleglobe Inc., a major international telecommunications provider
  • The FINOVA Group Inc., one of the largest independent commercial finance companies in the United States
  • USG Corporation, a leading global manufacturer and distributor of building materials, with a wide range of products for use in residential and commercial new construction, repair and remodeling, as well as certain industrial processes, including gypsum wallboard, gypsum fiber panels and cement board marketed under the SHEETROCK©, FIBEROCK© and DUROCK© brand names, as well as ceiling tile and grid systems marketed under a variety of trade names
  • Weiner’s Stores, Inc., a privately-owned neighborhood family apparel retailer that operates 158 stores in Texas and Louisiana
  • Wherehouse Entertainment, Inc., one of the largest retailers of prerecorded music and related media and electronics in the United States, both in terms of revenues and store locations
  • Zany Brainy, Inc., a leading specialty retailer of high quality toys, games, books and multimedia products for children with merchandise that has positive educational, emotional or physical developmental attributes


Committee Representation
Richards, Layton & Finger has represented a number of creditors’ committees in major bankruptcy cases in Delaware. For example, Richards, Layton & Finger represents or has represented the Official Committees of Unsecured Creditors in the chapter 11 cases of Alterra Healthcare, Safety Components International, Inc., GWI, Inc., Centennial Coal, Inc., Medlab, Inc., Hamilton Luggage RDG, Inc., Edison Brothers Stores, Inc., DG Acquisition Corp./Dabah, Bill’s Dollar Stores, Inc., Color Tile, Inc., The Ormond Shops, Inc., Scott Cable Communications, Inc., USAfrica Airways Holdings, Inc., Bedford House International Limited, Cherokee Inc. and Centennial Coal, Inc. The firm also represents or has represented Official and Unofficial Bondholders’ Committees in the chapter 11 cases of Memorex/Telex Corporation, The Kendall Company, Kash N’ Karry Food Stores, Inc. and Resorts International, Inc.

Creditor Representation
Richards, Layton & Finger also represents or has represented major secured and unsecured creditors in a number of recent chapter 11 cases.

For example, the firm's representations of commercial and investment banks as secured creditors and DIP financiers in chapter 11 reorganizations include CIGNA insurance companies in the chapter 11 case of Louise’s Inc.; J.P. Morgan Chase Bank in the chapter 11 cases of Federal-Mogul, Inc., Charter Behavioral Health Systems, MobileMedia Communications, Inc., Harnischfeger Industries, Inc., Marvel Entertainment, Inc., APS Holdings, Inc., Long John Silver’s Restaurants, Inc., Harvest Foods, Inc. II and Camelot Music, Inc.; Congress Financial Corp. in the chapter 11 cases of TEU Holdings, Inc., London Fog Industries, Inc., Loehmann’s Inc., Edison Brothers Stores, Inc., Strawberries, Inc., COBRA Industries, Inc., Star Expansion Company and Kuppenheimer Manufacturing Company, Inc.; Foothill Capital Corporation in the chapter 11 case of DEP Corporation; Citibank, N.A. in the chapter 11 cases of Anacomp, Inc., Hvide Marine Incorporated, Integrated Health Services, Inc., Sterling Healthcare Corporation and Acme Holdings, Inc.; Banker’s Trust in the chapter 11 cases of Wherehouse Entertainment, Inc.; Goss Graphic Systems, Inc. and Grand Union; GE Capital Finance, Inc. and General Electric Capital Corp. in the Burlington Motor Holdings Inc. chapter 11 cases; Comerica Bank in the American Film Technology, Inc. chapter 11 case; Heller Financial in the Abrasive Industries chapter 11 case; Bank One Arizona, N.A. in the UDC Homes, Inc. chapter 11 case; Westdeutsche Landesbank in the chapter 11 case of DET Holdings, Inc.; Bank of America in the chapter 11 cases of AmeriServe Food Distribution, Inc., Breed Technologies, Inc., Fruit of the Loom, Inc., Genicom Corporation and General Rental, Inc.; and BankBoston Retail Finance in the chapter 11 cases of HomePlace Stores, Inc. and Sun TV and Appliances, Inc. Richards, Layton & Finger also represented various creditors, both secured and unsecured, as well as other parties-in-interest, in the chapter 11 cases of Trans World Airlines, Inc., where we are represent American Airlines as the acquiror of substantially all the assets of TWA; Continental Airlines, Inc., where the firm was instrumental in leading a group of aircraft lessors in successfully clarifying on appeal the rights of lessors of aircraft in “sale lease-back” transactions, Lucent Technologies in connection with the Winstar Holdings case, Albertson’s, Inc. in the Fleming Companies case, Trans World Airlines, Inc., Days Inns of America, Inc., Motels of America, Inc., Peter J. Schmitt Company, Inc., Harvard Industries, Inc., Lifeco Investment Group, AM International, Inc., MAI Diversified, Inc., Magic Restaurants, Inc., Grand Union Company, Industrial General Corporation, The Icing, Inc., Smith Corona Corporation, Burlington Motor Holdings, Inc., Rickel Home Centers, Inc., Silo, Discovery Zone L.P. and Big V Holding Corp.

Litigation
The firm's Restructuring and Bankruptcy Group includes seasoned litigators who represent clients in contested matters as well as more traditional litigation matters including fiduciary duty, preference and fraudulent transfer litigation. Richards Layton & Finger represents or has represented American Airlines, Inc., in a preference and fraudulent transfer action filed in the American Classic Voyages bankruptcy case; Bank of America, N.A. in a preference action filed in the Gardenway bankruptcy case; The Carlyle Group and related entities in a breach of fiduciary duty, preference and fraudulent transfer action filed in the IT Group bankruptcy case; Congress Financial Corporation in an unjust enrichment and breach of contract action filed in the American Tissue bankruptcy case; De La Rue Cash Systems, Inc. and De La Rue, Inc. in a fraudulent transfer action filed in the Mosler bankruptcy case; The Godwin Group, in a preference action filed in the American Classic Voyages bankruptcy case; The Goldman Sachs Group, Inc. in preference and fraudulent transfer actions filed in the EXDS, Inc. and Lernout and Hauspie bankruptcy cases; Morgan Stanley Dean Witter in a fraudulent transfer action filed in the Lernout & Hauspie bankruptcy case; HON INDUSTRIES in a preference action filed in the US Office Products bankruptcy case; PricewaterhouseCoopers in preference actions filed in various bankruptcy cases; and Teleglobe Communications Corporation in a breach of fiduciary duty action filed in the Teleglobe Communications Corporation bankruptcy case.

Richards, Layton & Finger has represented numerous other defendants and plaintiffs in avoidance actions in chapter 11 cases. For example, we have represented defendants in avoidance actions in the following cases: AmeriServe, American Classic Voyages, Anchor Glass, Burlington, BCH Energy, Commercial Finance, Elec Tec, FPA, Lernout and Hauspie, Matlack Systems, Molten Metal, Reynolds Metals, Sun TV, USOP, and Twin County. We have represented plaintiffs in the following avoidance actions: BII Distribution Trust, Color Tile, Centennial Coal, Geotek, Little Rock Groceries and Teleglobe Communications Corporation.

Through Richards, Layton & Finger’s representation of its numerous clients and the resolution of myriad issues within the context of these cases, the attorneys in the Restructuring and Bankruptcy Group have acquired significant experience in all aspects of debtor/creditor matters and are intimately familiar with the practice and procedures in the United States Bankruptcy Court for the District of Delaware.