CraftWorks Can Access $12 Million of DIP Loan From Fortress

U.S. Bankruptcy Judge Brendan L. Shannon in a hearing Wednesday approves an order allowing CraftWorks Parent LLC to access $12 million of a bankruptcy loan from affiliates of Fortress Investment Group LLC on an interim basis.

• Co. agrees to postpone a proposed roll-up of pre-bankruptcy debt tied to the bankruptcy loan to a later hearing, an attorney for CraftWorks says
  • The debtor-in-possession loan calls for a roll-up of $5 of pre-bankruptcy debt for every $1 of new money loaned by Fortress, meaning as much as $115m would move up in repayment priority in connection with $23m of new money
• Shannon ...