Hayes Lemmerz International, Inc. Receives Court Approval of First Day Motions
15 Mai 2009 - 12:07AM
PR Newswire (US)
NORTHVILLE, Mich. May 14 /PRNewswire-FirstCall/ -- Hayes Lemmerz
International, Inc. ("Hayes" or the "Company") announced today that
it has received Court approval of up to $100 million of
debtor-in-possession ("DIP") financing, permitting it immediate
access to up to $30 million to continue operations in the ordinary
course of business. The DIP financing is being provided by lenders
holding a majority of the Company's prepetition secured debt.
Nearly all of the lenders holding the Company's prepetition secured
debt executed consents approving the DIP loan. A final hearing on
the DIP financing has been set for June 10, 2009. The Company also
received approval of several first day motions designed to ensure
daily operations will continue normally during the restructuring.
The "first-day" relief approved by the Honorable Judge Mary F.
Walrath of the U.S. Bankruptcy Court for the District of Delaware
also provides the Company with permission to pay certain
prepetition and postpetition employee wages and benefits during its
restructuring, to honor certain prepetition obligations to
customers and to continue use of its cash management systems. The
Company also received approval to pay certain prepetition amounts
owed to essential suppliers and freight carriers. "The court's
approval of our DIP financing will provide us with sufficient
liquidity to fund operating expenses and meet obligations during
the restructuring, assuring that we are able to conduct business as
usual," said Chief Executive Officer Curtis J. Clawson. "As we use
the Chapter 11 process to strengthen our balance sheet, our
operations around the globe remain focused on being a premier
automotive supplier by satisfying customers, being a low-cost
producer and having the best people." As announced on May 11, 2009,
the Company, certain of its U.S. subsidiaries and one
(non-operating) international subsidiary filed voluntary petitions
for relief under Chapter 11 of the U.S. Bankruptcy Code in the
District of Delaware. More information on the Company's
restructuring is available on the "Restructuring Information" page
on the Company's website (http://www.hayes-lemmerz.com/), or
through the Company's Restructuring Information Hotline,
888.753.5296 (for calls in the USA) or +1.734.737.5086 (for calls
outside the USA). About Hayes Lemmerz International, Inc.
Originally founded in 1908, Hayes Lemmerz International, Inc. is a
leading worldwide producer of aluminum and steel wheels for
passenger cars and light trucks and of steel wheels for commercial
trucks and trailers. The Company is also a supplier of automotive
powertrain components. The Company has global operations with 23
facilities, including business, sales offices and manufacturing
facilities, located in 12 countries around the world. The Company
sells products to every major North American, Asian and European
manufacturer of passenger cars and light trucks and to commercial
highway vehicle customers throughout the world. Forward Looking
Statements Some of the statements in this press release constitute
"forward-looking statements" within the meaning of the United
States Private Securities Litigation Reform Act of 1995, including,
without limitation, certain statements regarding the reorganization
of the Company's business and finances to improve its liquidity and
operational results, the sufficiency of liquidity to be provided by
the debtor-in-possession financing, anticipated authorizations
being requested of the Bankruptcy Court and expectations as to the
ability to make post-petition payments. Words such as "will,"
"expects," "believes," "intends" and similar expressions are used
to identify these forward-looking statements. Forward-looking
statements are based on current expectations, estimates and
projections concerning future developments and their potential
effects upon the Company and its subsidiaries. These statements are
only predictions and as such are not guarantees of future
performance and involve risks, uncertainties and assumptions that
are difficult to predict and actual results may differ materially
from those projected. Factors that could cause actual results to
differ materially from those projected in such forward-looking
statements include risks and uncertainties in connection with the
Chapter 11 proceedings and their possible effects on the Company
and its subsidiaries as well as other risks described under "Risk
Factors" and elsewhere in the Company's Annual Report on Form 10-K
and subsequent filings with the Securities and Exchange Commission.
The Company does not intend, and is under no obligation, to update
any particular forward-looking statements, whether as a result of
new information, future events or otherwise. DATASOURCE: Hayes
Lemmerz International, Inc. CONTACT: Marika Diamond,
+1-888-753-5283, or +1-734-737-5089 Web Site:
http://www.hayes-lemmerz.com/
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