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.