The current financial landscape presents legal challenges unrivaled in scope and complexity to businesses in every industry. Our Bankruptcy & Corporate Reorganization Department helps companies, creditors and investors facing rapid market and regulatory transformation respond to these challenges with comprehensive and innovative bankruptcy and reorganization strategies. Our practice has been a critical advisor in almost every major headline grabbing restructuring over the past several years.

Bon-Ton Receives Court Approval of $725 million Debtor-In-Possession Financing and “First Day” Motions to Support Business Operations

The U.S. Bankruptcy Court for the District of Delaware approved all of The Bon-Ton Stores’ debtor-in-possession financing, consisting of a $725 million senior secured credit facility and featuring a roll-up of Bon-Ton’s prepetition ABL revolving credit facility. The Bankruptcy Court also approved Bon-Ton’s first-day motions. Collectively, the approvals that Bon-Ton obtained will support its business and enable the company, which operates 256 stores in 23 states, to meet its financial obligations throughout the financial restructuring process. Paul, Weiss is representing Bon-Ton as lead debtors’ counsel.

As previously announced, Bon-Ton and its subsidiaries filed voluntary petitions for a court-supervised financial restructuring under Chapter 11. The company’s stores, e-commerce and mobile platforms under the Bon-Ton, Bergner's, Boston Store, Carson's, Elder-Beerman, Herberger’s and Younkers nameplates are open and operating as usual.

The Paul, Weiss team included bankruptcy partners Kelley Cornish and Elizabeth McColm and counsel Diane Meyers and Claudia Tobler; corporate partners Thomas de la Bastide, David Huntington and Jeffrey Marell and counsel Bruce Gruder and Nathan Sawyer; litigation partner Moses Silverman; tax partner Lindsay Parks; real estate partner Harris Freidus; employee benefits partner Andrew Gaines and counsel Jason Ertel; intellectual property partner Claudine Meredith-Goujon; and environmental counsel William O’Brien.

February 6, 2018

© 2018 Paul, Weiss, Rifkind, Wharton & Garrison LLP

Privacy Policy