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J.Crew’s Disclosures Approved, Allowing Vote on Bankruptcy Plan

June 25, 2020, 8:09 PM

J.Crew obtained court approval of its revised bankruptcy disclosure statements, allowing the retailer to seek votes on and confirm the Chapter 11 reorganization plan.

Judge Keith L. Phillips of the U.S. Bankruptcy Court for the Eastern District of Virginia, who issued the approval Thursday, overruled objections that the voting structure wrongly favored the company’s term loan lenders.

The disclosure statement provides “adequate information” for stakeholders to vote on the plan, and the objecting parties hadn’t proven that the disclosure statement was “fatally flawed,” Phillips said.

Stakeholders whose objections were overruled may still raise concerns when the company seeks confirmation of...

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