Pilgrim's Pride (PPC) Confirms Chapter 11 Filing to Address Short-Term Liquidity Challenges
Pilgrim's Pride Corporation (NYSE: PPC) today announced that in an effort to address certain short-term operational and liquidity challenges, it filed voluntary petitions for relief under Chapter 11 of the United States Bankruptcy Code in the United States Bankruptcy Court for the Northern District of Texas (the "Court"). The Company's operations are expected to continue as normal throughout the bankruptcy process while it develops a reorganization plan to resolve its temporary operational and liquidity issues. The Company's operations in Mexico and certain operations in the United States were not included in the filing and will continue to operate outside of the Chapter 11 process.
In conjunction with the filing, the Company is seeking approval to enter into a $450 million debtor-in-possession financing facility arranged by Bank of Montreal as lead agent (the "DIP Financing"). If approved by the Court, the DIP Financing will provide an immediate source of funds to the Company, enabling it to satisfy the customary obligations associated with the daily operation of its business, including the timely payment of employee wages and other obligations.
Pilgrim's Pride Corporation produces poultry products in the United States, Mexico, and Puerto Rico.
Create E-mail AlertRelated Categories
Corporate NewsHot List
Stocks Mentioned
+0.00Related Entities
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
