Published: Oct 30, 2009 12:14 AM
Modified: Oct 27, 2009 05:52 PM
CARY -
Donnelley nears end of bankruptcyYellow pages publisher R.H. Donnelley remains on track to emerge from bankruptcy at the end of January.
On Wednesday, U.S. Bankruptcy Judge Kevin Gross in Wilmington, Del., gave the Cary company the go-ahead to seek creditors' approval for its restructuring plan.
The restructuring plan, which was negotiated with lenders before the company filed for Chapter 11 bankruptcy in May, calls for reducing Donnelley's debt by about $6.4 billion.
That would reduce the company's annual interest payments on its debt by about $500 million a year.
Creditors owed about $6 billion in unsecured debt would receive virtually 100 percent ownership of the business, a move that would eliminate the last vestiges of shareholders' value, plus $300 million in debt.
Donnelley has about 450 workers in the Triangle and 3,700 overall. Its bankruptcy filing was triggered by deteriorating revenue and debt totaling more than $9 billion.
Copies of the reorganization plan are to be mailed to creditors by Nov. 9. Their votes must be submitted by Nov. 17.
The company expects to seek court approval of the reorganization plan at a hearing scheduled for Jan. 12.
Southwest adds flight to St. LouisMORRISVILLE Southwest Airlines plans to add a nonstop flight between Raleigh-Durham International and St. Louis.
The move follows an announcement last month by American Airlines that it was pulling the plug on its nonstop between the two cities. American currently operates the only nonstop to St. Louis from RDU but said it would end that flight next year as it focuses expansion at larger airports.
Southwest will offer one nonstop daily between RDU and Lambert International beginning in May.
Centice gets venture fundingMORRISVILLE A small Morrisville company marketing a machine to detect and prevent prescription drug errors has raised $6.1 million in venture financing.
Centice's PASS Rx system uses sensor technology developed at Duke University to verify prescriptions without opening the drug bottle. The company is selling the system to pharmacies and hospitals.
The company's investors include the Aurora Funds in Durham and Fulcrum Financial Group in Raleigh.