AMF Wins Court Approval of $50M Bankruptcy Loan

"AMF Bowling Worldwide Inc. won court approval for a $50 million bankruptcy loan that had previously drawn objections from its junior creditors.

AMF attorney Joshua Sussberg, of Kirkland & Ellis, said Wednesday that an order is forthcoming. The company's auction rules have been tweaked in response to creditors' concerns that the barrier to entry for bidders was too high.

Now, bidders must only satisfy whatever is owed under AMF's $50 million bankruptcy loan and administrative and priority claims. Mr. Sussberg said bidders won't be required to also cover the $215 million owed to the senior lenders, as previously proposed."

This article appeared in its entirety in the December 20, 2012 edition of Daily Bankruptcy Review.