Stern: "we’ve reached an agreement with our creditors that will meaningfully reduce our debt by more than two-thirds. This agreement will also reduce our annual cash interest expense by almost $100M. Finally, our creditors, who will exchange much of the debt they hold for equity, are investing new money to fund this agreement. The agreement leaves us in a substantially stronger financial position, strengthening our balance sheet while fully funding our operations. "
To reach agreement, a majority of our creditors had to come together and commit to the restructuring plan. To implement this plan, we will briefly put the U.S. entities into bankruptcy though a chapter 11 filing. We expect this to happen on or about May 1st. Nothing changes in our business because of this filing, and since we already have the votes needed to confirm the plan, we expect to be in and out of bankruptcy very quickly – potentially within days.