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Worldcom 1.1 bn dollar financing approved by the Court
New York, Oct 16: A US Bankruptcy court has approved up to 1.1 bn dollars in financing for Worldcom Inc, which filed for bankruptcy protection in July.
New York, Oct 16: A US Bankruptcy court has approved up to 1.1 bn dollars in financing for Worldcom Inc, which filed for bankruptcy protection in July.
In a statement yesterday, Worldcom Chief Financial officer John Dubel said, "today's decision by the court to approve our request for 1.1 billion dollars in
Debtor-in-Possession (DIP) financing is another positive step in our plan to emerge from chapter 11."
When it filed for world’s largest bankruptcy in July under chapter 11 reorganisation laws, Worldcom listed assets of 107 bn dollars as of March 31, against debts of 41 bn dollars.
At the time of the filing, Worldcom said that it had two bn dollars DIP in financing from JP Morgan Chase, Citibank, and GE Capital Co. Under
bankruptcy laws, these creditors would have priority for repayment.
Bureau Report