An SEC filing on Monday outlines the deadlines iHeart has set to complete its restructure with the bankruptcy court. The company also says once the restructure is complete Clear Channel Outdoor will be separated or spun-off from the and the holders of Term Loan Credit Facility Claims and PGN Claims will become the holders of the economic interests in the billboard company.
Here are the dates iHeart has must meet in connection with its restructuring:
– The plan, the disclosure statement and a motion for approval of the disclosure statement shall be filed in the Chapter 11 cases within 45 days of the petition date.
– An order approving the disclosure statement shall be entered by the bankruptcy court within 70 days of the filing of the plan and disclosure statement. It is possible that date could be extended.
– An order confirming the plan shall be entered by the bankruptcy court within 75 days of the entry of an order approving the disclosure statement.
If approved, the new capitol structure will include secured debt of $5.75 billion.
Currently, iHeart has $20 billion in debt.
The SEC filing also lays out how a new iHeart board would be chosen. The board of directors of a reorganized iHeart would consist of nine members. The Required Consenting Senior Creditors shall appoint a committee responsible for interviewing and selecting the non-management directors. The Chief Executive Officer and President/Chief Operating Officer/Chief Financial Officer shall have the right to consult with the Selection Committee regarding candidates. The Selection Committee may take recommendations for potential directors from the Chief Executive Officer and President/Chief Operating Officer/Chief Financial Officer, a qualified search firm, or any of the Consenting Stakeholders. The Selection Committee shall consult with the Chief Executive Officer and President/Chief Operating Officer/Chief Financial Officer to determine the appropriate number of independent directors.
