Verso emerges from bankruptcy
By Cindy Macdonald
U.S. papermaker Verso Corp. and its subsidiaries have emerged from bankruptcy following a successful financial restructuring and confirmation of its Chapter 11 plan of reorganization by the U.S. Bankruptcy Court.
“Our emergence from bankruptcy less than six months after our Chapter 11 filings would not have been possible without the support of our lenders, whose willingness to invest in Verso demonstrates their confidence in our prospects for long-term growth and value creation,” said Verso president and CEO David J. Paterson. “We also appreciate the hard work and dedication of our employees, who continued to serve our customers without interruption throughout the restructuring process.”
Verso’s restructuring reduced the company’s debt by US$2.4 billion and includes US$595 million in exit financing to support ongoing operations and capital investment.
In accordance with Verso’s Chapter 11 plan of reorganization, a new board of directors provided for in the plan of reorganization is effective immediately. As previously announced, Paterson will serve as Chairman of the Board and will remain as president and CEO until his replacement is named. The other directors of Verso are Robert M. Amen, Alan J. Carr, Eugene I. Davis, Jerome L. Goldman and Jay Shuster. Verso’s senior management team is unchanged and continues to lead the company.
Verso produces printing and specialty papers and pulp.