Fleetwood Enterprises, Inc. Announces Court Orders; Receives Approval for up to $80 Million in Debtor-in-Possession Financing
April 03 2009 - 3:50PM
PR Newswire (US)
RIVERSIDE, Calif., April 3 /PRNewswire-FirstCall/ -- Fleetwood
Enterprises, Inc. (OTC:FLTWE) (BULLETIN BOARD: FLTWE)
("Fleetwood"), a leading producer of recreational vehicles and
manufactured homes, today reported that the U.S. Bankruptcy Court
has approved orders that the company requested to support the
continued operation of its motor home and manufactured housing
businesses. On April 1, 2009, Fleetwood received authorization
through an interim order to obtain up to $80 million in
Debtor-in-Possession ("DIP") financing to supplement the company's
working capital needs, including a $65 million sub-limit for
Letters of Credit that the company had in place prior to its
Chapter 11 filing. The Court authorized the DIP financing as senior
secured super-priority post-petition extensions of credit from its
lenders, led by Bank of America, N.A. as agent. An additional
hearing will be held on April 21, 2009, regarding a final order on
the company's DIP financing. Fleetwood also announced that its
requests to pay pre-petition dealer and retailer sales incentives
and warranty service claims for Fleetwood motor homes and
manufactured homes were approved. Under Chapter 11, the company is
permitted to continue to pay for approved post-petition warranty
service that is performed on Fleetwood motor homes and manufactured
homes and to pay for sales incentives earned on or after March 10,
2009, in the ordinary course of business. Additional requests made
since the company voluntarily filed for Chapter 11 on March 10,
2009, have also been approved. The orders, entered by Judge
Meredith A. Jury of the Central District of California in
Riverside, include: -- Authorization for Fleetwood to access its
pre-existing cash management systems and its cash collateral. --
Approval to pay outstanding pre-petition employee expenses and
workers' compensation claims. -- Authorization to pay certain
common carriers and other vendors for pre-petition amounts
outstanding. The company has submitted a motion requesting
permission to pay certain additional vendor claims, which has not
yet been heard by the Court. Copies of the entered orders are
available electronically at http://www.kccllc.net/fleetwood.
Founded in 1950, Fleetwood Enterprises, Inc. and its various
subsidiaries produce, distribute, and service recreational vehicles
and manufactured housing. The company is dedicated to providing
high-quality, innovative products that offer exceptional value to
customers. Fleetwood continues to employ more than 3,000 people in
15 plants located in 10 states. Fleetwood's products are primarily
marketed through extensive dealer networks throughout the United
States and Canada. The company is headquartered in Riverside,
Calif. Additional information about the company's reorganization
may be found online in the news section of
http://www.fleetwood.com/ or http://www.kccllc.net/fleetwood.
Contact: Rivian Bell or Sydney Rosencranz The Abernathy MacGregor
Group , (213) 630-6550; (888) 477-4319 (24/7) DATASOURCE: Fleetwood
Enterprises, Inc. CONTACT: Rivian Bell, +1-213-630-6550, , or
Sydney Rosencranz, 1-888-477-4319, , both of The Abernathy
MacGregor Group, for Fleetwood Enterprises, Inc. Web Site:
http://www.fleetwood.com/
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