AMRESCO Announces Effectiveness of Plan of Liquidation
PR NEWSWIRE - August 07, 2002 11:43
DALLAS, Aug 7, 2002 /PRNewswire-FirstCall via COMTEX/ -- AMRESCO, INC. (OTC Pink Sheets: AMMBQ) announced today that the First Amended Joint Plan of Liquidation of the Company and several of the Company's subsidiaries (the "Plan") became effective on August 6, 2002. The Plan was confirmed by the United States Bankruptcy Court for the Northern District of Texas, Dallas Division, on July 23, 2002 in connection with AMRESCO's bankruptcy proceedings under Chapter 11 of Title 11 of the United States Code (Case no. 01-35327-SAF-11).
On August 7, 2002, the Company, along with its subsidiaries involved in the bankruptcy proceedings, transferred all right, title and interest in any and all assets that they have or may have (including the Company's ownership interests in its subsidiaries) to a trust established on behalf of the Company's creditors. The trust will liquidate and distribute these assets to the creditors of the Company and its subsidiaries in accordance with the provisions of the Plan. J. Gregg Pritchard has been named as the initial trustee of the trust. Mr. Pritchard has also been appointed to serve as the President and as the sole member of the board of directors of the Company and its subsidiaries.
All shares of the Company's common stock, and all other options, warrants and other rights and interests related to the Company's common stock were automatically cancelled upon the effective date of the Plan. Accordingly, all certificates formerly representing shares of common stock or other equity interests in the Company are null, void and of no effect. Similarly, all series of the Company's senior subordinated notes were automatically cancelled. In exchange, holders of these notes will be issued non-transferable beneficial interests in the liquidating trust, which will represent the right to receive certain payments in accordance with the terms of the trust |
