Libbey Inc. said that the U.S. Bankruptcy Court for the District of Delaware has confirmed the company’s plan of reorganization.
The company said it expects to complete its court-supervised restructuring and emerge from Chapter 11 in the coming weeks with a stronger balance sheet, reduced debt and the agility to position the company to succeed in the current operating environment.
Libbey has secured exit financing consisting of a $150 million term loan and a $100 million asset-based lending facility, and expects to emerge from the Chapter 11 process with less than $200 million of funded debt.
“We are pleased to have reached this critical milestone and look forward to emerging as a healthy company with a stronger balance sheet and improved liquidity,” said Mike Bauer, chief executive officer of Libbey. “I want to thank all of our employees for maintaining an incredible focus on serving our customers and end users without interruption throughout this process, as well as our lenders, customers, vendors and end users for their continued support.”
Bauer continued, “We look forward to working with all our stakeholders as we move forward as a stronger partner and continue our 200-plus year legacy of delivering the finest glassware and tabletop products to the world and empowering consumers to celebrate life’s moments.”
As previously announced, on June 1, Libbey and its U.S.-based subsidiaries filed voluntary petitions for a court-supervised reorganization under Chapter 11 under Title 11 of the United States Code in the Bankruptcy Court.
Libbey’s international subsidiaries in Canada, China, Mexico, the Netherlands and Portugal are not included in the Chapter 11 proceedings and are operating in the normal course of business.