Enron Says Creditors OK Revamp Plan
Enron Corp. said Friday that it reached agreement with creditors on a reorganization and sought an extension from Monday’s deadline to submit the plan for court approval.
The extension to July 11 is needed to allow for a review by the court examiner and time to document the accord and to resolve technical issues “arising from the sheer volume” of paperwork, the company and its creditors said in a filing with the U.S. Bankruptcy Court for the Southern District of New York.
Houston-based Enron, the world’s largest energy trader before its 2001 collapse, expects the reorganization plan to run 150 pages, with 600 additional pages of disclosures that include graphs and charts. “The very size and nature of such documents creates severe problems and threatens to severely disrupt the electronic filing system of the court,” the filing said.
Enron sought protection from creditors after disclosing that it inflated revenue and hid debt with off-the-books partnerships.
The Federal Energy Regulatory Commission on Wednesday revoked the company’s license to trade power and natural gas, barring Enron from the industry it helped create. The company has sold its energy trading business to UBS Warburg.
Inside the business of entertainment
The Wide Shot brings you news, analysis and insights on everything from streaming wars to production — and what it all means for the future.
You may occasionally receive promotional content from the Los Angeles Times.
