Representation of Large Estate Seeking to Recover Financial Investments
Represented a large personal estate seeking to recover millions of dollars from bankrupt debtors. Assisted with international procedural matters including service of process on entities in Amsterdam and Costa Rica.
Majestic Liquor Stores, Inc. Chapter 11 Lender Representation
Representation of the senior secured lender in the Majestic Liquor Stores, Inc.’s and affiliated Chapter 11 cases filed in the United States Bankruptcy Court in Fort Worth, Texas. The case involved protracted litigation between the lender and Majestic. Haynes and Boone developed a successful strategy, which included the filing of a motion to terminate exclusivity and a proposed plan to merge Majestic into one of its competitors. The firm's strategy and tactics led to the confirmation of a plan of reorganization that resulted in the sale of Majestic into the same competitor proposed by the Haynes and Boone team.
Guaranty Financial Group Inc. - Chapter 11
Representation of Guaranty Financial Group Inc. ("GFG") and three of its affiliates in their complex Chapter 11 cases in the Northern District of Texas. Through its subsidiaries, GFG formerly owned Guaranty Bank, which operated more than 100 bank branches in Texas and California and, at one time, had consolidated assets of more than $16 billion. The Office of Thrift Supervision appointed the FDIC as receiver for Guaranty Bank in August 2009, resulting in the second largest bank failure of 2009 and the tenth largest in American history. This Chapter 11 case required the firm to formulate a plan for the distribution of GFG's assets to GFG's creditors, including GFG's $305 million Trust Preferred Security Holders. The complexity of the case was heightened by the heavy involvement of the FDIC, which asserted multi-billion dollar claims against the Debtors' estates. The firm negotiated a global settlement among GFG, the FDIC, and GFG's Trust Preferred Holders, and in May 2011, a plan of liquidation for GFG and its affiliates was confirmed resolving claims against the debtors in excess of $2.4 billion.
Forrest City Grocery Co. in its Sale to Core-Mark Holding Company, Inc.
Represented Forrest City Grocery Co. (FCGC), a food industry wholesale distributor, in its sale to Core-Mark Holding Company, Inc. (Core-Mark), a marketer of fresh and broad-line supply solutions to the convenience retail industry, via an all-cash merger pursuant to which FCGC became a wholly-owned, indirect subsidiary of Core-Mark.
Southwest Georgia Ethanol LLC
Representation of creditor/lesser in the Chapter 11 case of an ethanol plant in a Georgia bankruptcy court.
Mexicana Airlines - Chapter 15
Representation of American Airlines' interests related to the Concurso proceedings of the Mexican passenger airlines Mexicana, including proper treatment of claims arising under a codesharing agreement and an interline agreement.
Bosque Power Company, LLC
Representation of Prepetition Agent and Working Group of Lenders in the 2010 Chapter 11 of Bosque Power Co LLC and its affiliates. The Texas-based electricity generation company borrowed approximately $410 million in January 2008 in part to fund a conversion of two of its combustion turbines. The Prepetition Agent and the Working Group of Lenders terminated the exclusivity period and confirmed a plan of reorganization in the fall of 2010.
Purchase and Sale Agreement, dated 12/15/09 by and among Pacific Energy Resources Ltd., San Pedro Bay Pipeline Company, Rise Energy Beta, LLC and SP Beta Properties, LLC
Represented Rise Energy Partners, LP in Bankruptcy Code section 363 purchase of offshore California oil reserves, oil production platforms, and pipelines from Pacific Energy Resources Ltd. Transaction involved a court ordered auction and credit bid by Rise of indebtedness totalling approximately $500 million.
Hawkeye Renewables, LLC - Ethanol
Representation of creditor/lessor in a pre-packaged Chapter 11 proceeding of an ethanol plant in the Delaware bankruptcy court.
Otter Tail Ag Enterprises LLC - Ethanol
Representation of creditor/lessor in the restructure of an ethanol plant in the Minnesota bankruptcy court through a sale of the assets to a third party investor.
VeraSun Energy Corporation - Ethanol
Representation of creditor/lesser in complex Chapter 11 case in Delaware involving multiple ethanol plants collateralized in separate pools of debt culminating in a Section 363 sale of certain of the ethanol plants to Valero and the lenders credit bidding on the remaining ethanol plants.
Universal Display & Fixtures Company - Circuit City Preference Litigation
Representation of pre-petition vendor in $2.1 million preference litigation arising from the bankruptcy of Circuit City, including participation in mediation, discovery, and other significant trial preparation. Negotiated and obtained a favorable settlement in advance of trial.
Representation of this $500 million public company which was one of the country’s largest manufacturers and distributors of building products for manufactured housing and motor homes in its Chapter 11 case.
Acquisition - TWA Assets
American Airlines in its acquisition of Trans World Airways (TWA) assets out of Chapter 11 proceedings.
$930 Million Workout and Bankruptcy - Homebuilder
Represented the administrative agent in connection with the restructuring of revolving bank debt of a homebuilder, including the collateralization thereof and coordination with other creditor constituencies, and in the subsequent bankruptcy.
$1.1 Billion Loan Restructuring - National Homebuilder
Representation of the administrative agent in connection with the restructuring of the bank debt to a homebuilder headquartered in California, including revolving debt and two tranches of term debt.
Creditor's Committee Representation - El Paso Electric Company
Represented the Official Creditors’ Committee in the Chapter 11 case of El Paso Electric Company, the second investor owned public utility to file bankruptcy since the 1930’s. The case involved complex issues regarding the financing of El Paso’s investments in a nuclear power plant and the impact of recently enacted federal deregulation of the power industry. The case was concluded through the successful issuance of new public securities to refinance the pre-bankruptcy debt that totaled over $2 billion.
The firm represented CIC Partners in its investigation of and effort to acquire the assets of Radnor Holdings, a major packaging manufacturer.
Acquisition - Apparel Retailer
Represented investment fund in bid to acquire assets of apparel retailer.
Newcastle Partners, LP
The firm represented Newcastle Partners in its successful bid for the assets of this major home decor manufacturing firm in its bankruptcy in the District of Delaware.
Representation of Cardinal Investments - Cafeteria Operators, LP
Represented Cardinal Investments, a major private equity firm, in its acquisition of the assets of Furr’s Cafeterias out of its bankruptcy case in Dallas, Texas.
Principal Counsel - Major Financial Company
Principal counsel to a major corporate and commercial bank as administrative agent on three credit facilities with WorldCom that totaled in excess of $6 billion.
National Benevolent Association of the Christian Church Disciples of Christ
Our attorneys represented the Creditors’ Committee in this case. After significant litigation, the Creditors’ Committee obtained authority from the court to run a marketing process for this not-for-profit corporation operating senior care living facilities in 10 different states. The debtor had total indebtedness in excess of $250 million. The marketing process, sponsored by the Creditors’ Committee, yielded proceeds sufficient to pay all creditors in full, in cash, plus interest to the date of payment.
Debtor-in-Possession Representation - Schlotsky's
Our firm served as counsel to Schlotzsky’s in its Chapter 11 case. Schlotzsky’s was the owner and operator of 36 company owned restaurants and franchised 500 additional units in the United States and 7 foreign countries.
Representation of Debtor - EOTT Energy Partners
Represented this crude oil pipeline and marketing company, an affiliate of Enron Corporation, in its fast track pre-arranged Chapter 11. At the time of its Chapter 11 filing, EOTT had $10 billion in annual sales. A major issue in the case was EOTT’s claim against a major pipeline operator for indemnity in respect of massive crude oil spills and discharges. Litigation of liability and damages resulted in very large recovery that contributed to EOTT’s emergence from Chapter 11 as a standalone enterprise.
Debtor Representation - Kitty Hawk, Inc.
Represented the debtor-in-possession, a publicly held non-integrated air cargo airline, in its tumultuous Chapter 11 proceedings in Fort Worth, Texas. The case involved the restructuring of $340 million of public bond debt as well as hundreds of millions of bank debt and trade debt.
Acquisition of Assets - Oil and Gas
Representation of an oil and gas producer in its bid to purchase the oil and gas assets of energy company that was operating in Chapter 11.
National Energy Group - Carl Icahn Interests
Representation of Carl Icahn affiliate in connection with its acquisition of exploration and production company through a creative Chapter 11 plan that was designed to preserve $100 million in net operating losses.
Hyperion Resources - Purchaser
Represented an oil and gas producer in its bid to purchase the oil and gas assets of an energy company that was operating in Chapter 11.
American Airlines Acquisition of TWA's Assets - Latin America and Caribbean
Advised American Airlines in the acquisition of Trans World Airways (TWA) assets out of Chapter 11 proceedings. Aircraft were located in the U.S. and 13 foreign jurisdictions, including Mexico and parts of Latin America, Caribbean, Europe, and the Middle East.
Debtor Representation - Rand Energy Company
Orderly wind-down and liquidation of Rand Energy Company’s assets, including substantial bank and trade debt and numerous property damage and tort claims resulting from a well explosion catastrophe and lien disputes from mechanics and materialmen.
Pacific Gas & Electric, In re Pacific Gas & Electric
The firm was engaged by the California State Assembly in late 2000 to advise it with respect to the financial crisis facing the incumbent electric production and service providers in California including the crisis relative to availability to electricity and rolling blackouts. The firm advised the legislature with respect to the State of California taking over financial responsibility for the purchase of electric power and later advised the legislature in connection with the bankruptcy of Pacific Gas & Electric and of the workout of the financial at Southern California Edison.
$4.25 Billion Multi-Facility Financing - Long Distance and Internet Provider
Representation of administrative agent and lead arranger in a $4.25 billion multi-facility with a publicly held international long distance and internet provider and with respect to the administration of such credit facilities during bankruptcy.
Representation of Debtor - Greate Bay Casino Corporation
We represented this publicly held debtor-in-possession which was a holding company for various entities that owned and operated hotel, casino, and management companies in the gaming industry in its Chapter 11 case in Delaware. The case involved substantial asset sales and contentious litigation with a former trademark licensor.
Debt Restructure and Collections
Represented Southwest Savings Association, Bonnet Resources, Amresco, and Sunbelt Savings Association in connection with the collection of hundreds of loans including, real property foreclosures, personal property foreclosures, litigation, demands for payment, restructurings, and bankruptcies. These loans covered all industries and involved many novel factual and legal issues.
Acquisition - Retail Drug Store Chain
Represented a major California based chain of drug stores in connection with a court sponsored auction of the retail locations of a major California-based retail chain. The purchase price was $35 million.
Debtor Representation - SpectraVision
Represented SpectraVision in its Chapter 11 bankruptcy. Our attorneys worked closely with our client’s financial advisor to conduct a controlled blind auction resulting in a merger of SpectraVision with its largest competitor. The auction netted SpectraVision’s unsecured creditors stock and warrants for nearly 30% of the surviving entity with an equity value of more than $650 million.
Creditors’ Committee Representation - Pizza Inn, Inc.
Represented the Unsecured Creditors’ Committee in this highly successful reorganization case of an owner, operator, and franchisor of this national chain of pizza restaurants. Later, the firm represented a private equity company that acquired control of Pizza Inn.
Lincoln Properties, Vantage Properties, and Trammell Crow
Represented the major secured creditor in connection with the restructure of these major real estate organizations.
Chapter 11 Debtor Representation - American Healthcare Management
We served as counsel to this American Stock Exchange hospital holding company. American Healthcare owned and operated 36 hospitals in 14 different states. The company emerged from bankruptcy pursuant to an acquisition by a competitor who was the successful bidder after a controlled, bankruptcy court supervised auction.
Acquisition of Air Transportation Routes
Shortly after the commencement of a major airlines bankruptcy in 1982, the firm was engaged by another major airline in connection with its acquisition of the bankrupt airline's South American routes and assets. The transaction was approved on an expedited basis by the bankruptcy court and required consular approval by the governments of all South American countries whose routes were involved.
Representation of this petroleum company in their Chapter 11 proceedings involving a pre-arranged plan and a 363 sale.
Representation of Administrative Agent in connection with restructuring of, and collection efforts and enforcement actions with respect to, multiple joint venture financings.
Lone Star Park - Magna Entertainment Bankruptcy
Representation of the City of Grand Prairie and the Grand Prairie Sports Facilities Development Corporation in the Magna Entertainment Corporation Chapter 11 proceedings in Delaware, which led to Bankruptcy Court approval of the assumption and assignment of the lease with the debtors governing the Lone Star Park racing facilities.
Represented Shared Technologies in challenge to bankruptcy court jurisdiction four years after Shared Technologies emerged from bankruptcy.
Represented Bombay Company, a major national and international home furnishings retailer in efforts to raise capital to continue as a going concern and then in its efforts in Chapter 11 to implement an orderly liquidation of the company’s assets. The Canadian assets were sold as a going concern. U.S. and other international assets were liquidated yielding a full recovery to Bombay’s secured and an approximately 25%-30% recovery to Bombay’s unsecured creditors.
Camp Cooley, Ltd.
Representation of lender in the complex Chapter 11 case Camp Cooley, Ltd in the Western District of Texas. The case required the firm to litigate disputed complex issues involving producing and nonproducing minerals, federal and state wetlands and mitigation banking regulations, surface and underground water regulations, timber rights, and operations and valuation disputes involving Camp Cooley’s cattle, genetics, and hay production operations. The lender’s claim against Camp Cooley exceeded $25 million secured by Camp Cooley’s real estate and minerals assets. After a six-day confirmation trial, the firm successfully blocked confirmation of Camp Cooley's proposed plan of reorganization over the lender's objection. Thereafter, the firm negotiated a global settlement on behalf of the lender with Camp Cooley and a second secured creditor that provided for the orderly liquidation of the Camp Cooley assets through a Section 363 sale process.
Cornerstone E&P Company - Debtor Representation
Represented an oil and gas exploration and production company and its affiliate in their Chapter 11 proceedings in the Northern District of Texas. The court has approved a unique vendor-financing program in lieu of traditional DIP financing, which allowed Cornerstone to finish completion operations on vital wells.
Swaps and Other Derivative Transactions
Haynes and Boone has substantial experience in assisting clients who have swaps and other derivative transactions with failed or failing counterparties. Most recently it has assisted a major petrochemical manufacturer in assessing the applicability of the bankruptcy code derivative safe harbor provisions to various long term supply contracts with financially distressed petrochemical producers. Also, Haynes and Boone has assisted more that 20 swap and derivative counterparties in unwinding their ISDA based transactions with various U.S. and foreign affiliates of Lehman Brothers Holdings, Inc.
$200 Million Workout and Bankruptcy
Represent the administrative agent in connection with a $200 million credit facility and the bankruptcy of a single asset real estate entity.
$1.4+ Billion Loan Restructuring - Spectrum Brands, Inc.
Represents the administrative agent in connection with the restructuring of the term loans provided to a global multi-product conglomerate company, including the collateralization thereof and the coordination with the other creditor constituencies in the Chapter 11 bankruptcy case.
WCI Communities, Inc.
Representation of lender, as Administrative Agent, in connection with amendments to the $500 million pre-petition revolving line of credit for WCI Communities, Inc. and its related affiliates and subsequent representation of the lender in connection with a $150 million syndicated debtor-in-possession lending facility to WCI. In addition, the firm represented the lender in connection with the negotiation, documentation, and consummation of WCI’s plan of reorganization and exit facilities.