Merisant Plan of Reorganization Approved
Implementation of the Plan will reduce the aggregate principal amount of Merisant’s indebtedness from $567 million to approximately $147 million, reducing the company’s annual cash interest expense from approximately $36 million to $11 million.
17 Dec 2009 --- Merisant Worldwide, Inc., a global leader in tabletop sweeteners, announced that the United States Bankruptcy Court for the District of Delaware (the “Court”) has confirmed its plan of reorganization (the “Plan”). The decision sets the stage for the company to emerge from bankruptcy as early as January 8, 2010.
“Merisant’s successful restructuring establishes a strong foundation for the future of the company,” said Paul Block, chairman and chief executive officer of Merisant. “As a result of the Plan, Merisant now has a significantly improved capital structure and liquidity profile. Over the last several years, the company has worked diligently to improve the efficiency of our operations, stabilize our core sweetener businesses and launch innovative natural sweetener products. With this Plan, we now have the right structure in place to execute our strategies.
“I am grateful to our employees for their continued dedication and to our customers and business partners for their support throughout this bankruptcy proceeding,” said Block.
Implementation of the Plan will reduce the aggregate principal amount of Merisant’s indebtedness from $567 million to approximately $147 million, reducing the company’s annual cash interest expense from approximately $36 million to $11 million. As a result of the restructuring, Wayzata Investment Partners LLC ("Wayzata"), through the funds it manages, has become the majority and controlling shareholder of Merisant Company and its subsidiaries.
Block added, “Merisant has benefitted from Wayzata's commitment to our successful restructuring over the past year and we look forward to working with Wayzata to propel the company’s growth and increase shareholder value.”
Merisant Worldwide, Inc. and its U.S. subsidiaries filed for Chapter 11 protection on January 9, 2009, to strengthen Merisant’s financial health and long-term prospects. Merisant has operated its U.S. business in the ordinary course without material disruption during the bankruptcy case.
