Post-Confirmation Trust for Fleming Companies Asks for Initial Distribution of Core-Mark Stock
DALLAS - Another step in the reorganization of Fleming Companies, Inc. occurred yesterday, as the Post Confirmation Trust for Fleming asked the U.S. Bankruptcy Court for permission to distribute $3.29 billion in Core-Mark common stock in order to pay unsecured creditors. Core-Mark is the reorganized group of wholesale distribution subsidiaries that emerged from Chapter 11.
The PTC said it would use half the stock to pay back unsecured creditors, and the other half to keep on reserve for unsecured claims that are not yet allowed or in dispute.
At this time, the allowed claims subject to stock distribution total $1.7 billion, the PTC said. However, the trust wants to make an initial distribution of the stock based on a reserve estimate of the total unsecured claims pool of about $3.29 billion.
The PTC said it would use half the stock to pay back unsecured creditors, and the other half to keep on reserve for unsecured claims that are not yet allowed or in dispute.
At this time, the allowed claims subject to stock distribution total $1.7 billion, the PTC said. However, the trust wants to make an initial distribution of the stock based on a reserve estimate of the total unsecured claims pool of about $3.29 billion.