Orleans Homebuilders, Inc. Receives Court Approval on First-Day Motions, Interim Approval of Up to $11 Million in New Financing
05 Marzo 2010 - 10:33PM
PR Newswire (US)
BENSALEM, Pa., March 5 /PRNewswire-FirstCall/ -- Orleans
Homebuilders, Inc. (the "Company", or "Orleans") , which develops,
builds and markets high-quality single-family homes and townhouses
and whose operations in Pennsylvania and New Jersey date back more
than 90 years, announced today that it has received Court approval
on several key motions that will allow the continued operation of
its homebuilding and management services operations. Importantly,
the Court gave interim approval for up to $26 million of the
Company's $40 million debtor-in-possession (DIP) financing line,
including up to $11 million of cash funding and up to $15 million
of letters of credit. The Company intends to use the proceeds of
the financing for, among other things, its ordinary course business
expenses. The Court approved the Company's motions to pay
prepetition employee wage and benefit charges, as well as motions
to maintain the Company's existing cash management systems and to
use its cash collateral. In addition, the Court approved the
Company's motions for the continuation of the Mortgage Plus Program
and home warranty programs, and approved payment of prepetition
amounts owed to homeowners' and condo associations. Finally, the
Court approved a motion to honor prepetition claims for certain
critical vendors, among other items. Copies of signed orders will
be available electronically at http://www.orleanshomesreorg.com/.
The Company and most of its operating subsidiaries filed voluntary
petitions to commence the Chapter 11 process on March 1 in the U.S.
Bankruptcy Court for the District of Delaware in Wilmington. The
filing does not include certain of the Company's subsidiaries,
including its mortgage services subsidiary, Alambry Funding, Inc.,
which provides mortgage brokerage services for customers and
financial institutions but which does not underwrite any customer
mortgages. The Company is providing information about the
reorganization at http://www.orleanshomesreorg.com/. For the next
few days, a call center will be open from 8:00 am to 6:00 pm,
Eastern Standard Time, at (888) 215-9315. Messages may also be left
on that number during other times. About Orleans Homebuilders, Inc.
Orleans Homebuilders, Inc. develops, builds and markets
high-quality single-family homes, townhouses and condominiums. From
its headquarters in suburban Philadelphia, the Company serves a
broad customer base including first-time, move-up, luxury,
empty-nester and active adult homebuyers. The Company currently
operates in the following 11 distinct markets: Southeastern
Pennsylvania; Central and Southern New Jersey; Orange County, New
York; Charlotte, Raleigh and Greensboro, North Carolina; Richmond
and Tidewater, Virginia; Chicago, Illinois; and Orlando, Florida.
The Company's Charlotte, North Carolina operations also include
adjacent counties in South Carolina. Orleans Homebuilders employs
approximately 300 people. Forward-Looking Statements Certain
information included herein and in other Company statements,
reports and SEC filings is or may be forward-looking within the
meaning of the Private Securities Litigation Reform Act of 1995,
including, but not limited to, statements concerning the ability of
the Company to enter into new financing arrangements, including
without limitation the DIP financing; required bankruptcy court
approvals; potential restructurings of the Company's liabilities;
any value that may be provided by the Company's unsecured creditors
or its equity holders; payments on its 8.52% Trust Preferred
Securities and the Junior Subordinated Notes; potential strategic
transactions, including refinancing, recapitalization and sale
transactions involving the Company; payments to trade creditors,
employees, or customers; anticipated and potential asset sales;
anticipated liquidity; anticipated increase in net new orders,
conditions in or recovery of the housing market, and economic
conditions; the Company's long-term opportunities; the timing of
future filings by the Company of its Annual and Quarterly Reports
and the continued listing of the Company's common stock on the NYSE
Amex Exchange; continuing overall economic conditions and
conditions in the housing and mortgage markets and industry
outlook; anticipated or expected operating results, revenues,
sales, net new orders, backlog, pace of sales, spec unit levels,
and traffic; future or expected liquidity, financial resources,
debt or equity financings, amendments to or extensions of our
existing revolving Credit Facility; strategic transactions and
alternatives including but not limited to the sale of the Company;
the anticipated impact of bank reappraisals; future impairment
charges; future tax valuation allowance and its value; anticipated
or possible federal and state stimulus plans or other possible
future government support for the housing and financial services
industries; anticipated cash flow from operations; reductions in
land expenditures; the Company's ability to meet its internal
financial objectives or projections, and debt covenants; the
Company's future liquidity, capital structure and finances; and the
Company's response to market conditions. Such forward-looking
information involves important risks and uncertainties that could
significantly affect actual results and cause them to differ
materially from expectations expressed herein and in other Company
statements, reports and SEC filings. These risks and uncertainties
include the Company's ability to continue as a going concern; the
Company's ability to enter into the DIP financing facility and to
operate under terms of the DIP financing facility; the Company's
ability to obtain court approval with respect to motions relating
to the bankruptcy filings, including "first-day" motions; the
ability of the Company to develop, confirm and consummate one or
more plans of reorganization with respect to the Chapter 11
proceeding; the ability of the Company to obtain and maintain
normal terms with vendors and service providers and to maintain
contracts critical to its operations; the ability of the Company to
continue to attract buyers of its homes; the ability to continue
normal business operations; the potential adverse impact of the
Chapter 11 proceedings; the ability of the Company to attract,
motivate and/or retain key executives and employees; access to
liquidity; local, regional and national economic conditions; the
effects of governmental regulation; the competitive environment in
which the Company operates; fluctuations in interest rates; changes
in home prices; the availability of capital; our ability to engage
in a financing or strategic transaction; the availability and cost
of labor and materials; our dependence on certain key employees;
and weather conditions. Additional information concerning factors
the Company believes could cause its actual results to differ
materially from expected results is contained in Item 1A of the
Company's Annual Report on Form 10-K/A for the fiscal year ended
June 30, 2008 filed with the SEC and subsequently filed Quarterly
Reports on Form 10-Q, as well as the Current Reports on Form 8-K
and press releases filed with the Securities and Exchange
Commission on August 14, 2009, October 6, 2009, November 5, 2009,
December 9, 2009, December 23, 2009, February 1, 2010 and February
19, 2010. DATASOURCE: Orleans Homebuilders, Inc. CONTACT: Dan
Hilley of The Abernathy MacGregor Group, Inc.,+1-213-630-6550;
+1-888-477-4319, dch@abmac.com Web Site:
http://www.orleanshomes.com/
Copyright
Grafico Azioni Orleans Homebuilders (AMEX:OHB)
Storico
Da Apr 2024 a Mag 2024
Grafico Azioni Orleans Homebuilders (AMEX:OHB)
Storico
Da Mag 2023 a Mag 2024