Local Insight Media Holdings, Inc. Files Plan of Reorganization and Disclosure Statement
DENVER, Aug. 15, 2011 /PRNewswire/ -- Local Insight Media Holdings, Inc. (the "Company") announced today that the company and its subsidiaries currently acting as debtors in possession under Chapter 11 of the United States Bankruptcy Code have filed a Joint Plan of Reorganization (the "Plan") and Disclosure Statement with the United States Bankruptcy Court for the District of Delaware. With this filing, the Company expects to emerge from Chapter 11 during the fourth quarter of 2011.
Under the Plan, which is subject to the confirmation of the Court, the company will emerge with a new credit facility and total debt reduced by more than 90 percent. The Company's senior secured debt will be exchanged for equity in the reorganized company. The Plan has the support of the steering committee of the Company's pre-petition senior secured lenders.
"The filing of our Plan of Reorganization and Disclosure Statement is a vital step toward our successful emergence from Chapter 11," said Scott Brubaker, interim president and CEO. "The Plan will enable us to substantially reduce our debt and emerge with a manageable capital structure and stronger financial foundation. As a result, we will be better positioned to meet our advertisers' needs for local search solutions."
As part of this process, the Company anticipates holding a hearing on the adequacy of the Disclosure Statement in late September 2011. After receiving approval of its Disclosure Statement, the Company expects to solicit approval of the Plan by the necessary classes of creditors and hold a confirmation hearing on the Plan.
The Company's legal advisor is Kirkland & Ellis LLP and its investment banker is Lazard Freres & Co LLC. Alvarez & Marsal has served as the Company's restructuring advisor.
More information about Local Insight Media's restructuring is available at 877-660-6697 or www.kccllc.net/localinsight.
About Local Insight Media Holdings, Inc.
Local Insight Media Holdings, Inc., through its subsidiary The Berry Company LLC, is a leading provider of local search solutions, generating leads for its advertising clients and enabling consumers to efficiently find the products and services they need. The Berry Company serves approximately 225,000 advertising clients in 41 states, publishing approximately 850 print Yellow Pages directories on behalf of approximately 115 telco and other customers. As an authorized reseller of YP.com™ in all of its markets, The Berry Company provides its clients with online listings and video advertising through this leading national Internet Yellow Pages site. The Berry Company also provides small and medium-sized businesses with website development and search engine marketing services, and is a Google™ Qualified Company.
SOURCE Local Insight Media Holdings, Inc.
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