By Liz White, UT editor
Linwood, Pennsylvania-US polyurethane foamer Foamex International Inc. announced 27 Nov that the US Bankruptcy Court in Delaware has approved its plan of to get out of chapter 11 bankruptcy proceedings.
The court also authorised Foamex to start asking certain creditors and shareholders for approvals to the plan and scheduled a hearing on 18 Jan 2007 to consider confirmation of the plan. Foamex said it expects to emerge from chapter 11 during the first quarter of 2007.
"We are extremely pleased with the Bankruptcy Court's decision to approve the disclosure statement," said Raymond Mabus Jr, chairman and chief executive officer of Foamex International, in a company statement.
This milestone in Foamex's chapter 11 process "moves us closer to our ultimate goal of emerging from chapter 11 as a stronger company, better positioned to compete in the marketplace," Mabus added.
The Linwood-headquartered foam maker, which went into Chapter 11 in September 2005, describes itself as "a leading producer of comfort cushioning for bedding, furniture, carpet cushion and automotive markets." Foamex also makes high-performance polymers for diverse applications in the industrial, aerospace, defense, electronics and computer industries.