Tuesday, January 24, 2006

Bankruptcy court judge approves O'Sullivan expenses

A federal bankruptcy court judge has approved a request from O'Sullivan Industries officials for up to $180,000 in expenses for financial institutions that might provide the beleaguered company with the money to bring it out of bankruptcy.
According to documents filed Monday in U. S. Bankruptcy Court for the Northern District of Georgia, company officials say the expenses are necessary so they can negotiate a $50 million credit facility that would enable O'Sullivan to emerge from bankruptcy in a few months.
The financial institutions with whom O'Sullivan is negotiating are requiring upfront expense money to come to conduct field/collateral audits, according to documents filed Friday.

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