Bluestem’s Bankruptcy Plan Approved After ‘Overwhelming’ Vote

Electronic commerce retailer Bluestem Brands Inc. will keep its business running, distribute $1 million to unsecured creditors, and repay its bankruptcy loan in full following a bankruptcy court’s approval of its Chapter 11 plan.

Judge Mary F. Walrath of the U.S. Bankruptcy Court for the District of Delaware gave an interim nod to the plan at a hearing Friday after overruling an objection from the U.S. Trustee’s Office, the Justice Department’s bankruptcy watchdog. Walrath said she would officially confirm the plan as soon as a final version is filed with the court.

The Trustee had argued that the opt-out check ...