First Bank & Trust in Chicago Being Sold Under Northwest Bancorp’s Chapter 11 Plan

May 22, 2015, 10:21 PM UTC

First Bank & Trust Co. of Illinois will be sold after a bankruptcy judge in Chicago signed a confirmation order on May 21 approving the Chapter 11 plan for owner Northwest Bancorporation of Illinois Inc. (In re Northwest Bancorporation of Illinois Inc., Bankr. N.D. Ill., 15-15245, plan confirmed 5/21/15).

The holding company filed a Chapter 11 petition on April 29 in Chicago alongside a reorganization plan that reduces debt on trust-preferred securities, or Trups 85 PBGCN, 5/4/15, 18 MALR 716, 5/11/15, 27 BBLR 660, 5/7/15.

The holding company sold $35 million of Trups in 2001 that had a feature allowing ...

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