Originally Posted by
Releasemaster
Winglet,
What is the exclusive solicitation period?
Thanks
Releasemaster,
This is the period after the disclosure statement has been accepted by the court where the Debtor or proponents of the POR (plan of reorganization) are free to solicit acceptance of the plan. Creditors are also free to solicit rejection of the plan.
It's exclusive because only the Debtor (MAG) can submit a POR during the first 120 days after the bankruptcy petition is filed. After the deadline the Creditors can submit their plan. The court can grant an extension of up to 18 months. The exlusive period for solicitaion for acceptance of its plan is 180 days. This can either be reduced or extended by the court by up to 20 months! Extensions are normal for complex corporate bankruptcies.
winglet