Hayes Lemmerz Files Reorganisation Plan

Hayes Lemmerz has filed a Plan of Reorganisation with the US Bankruptcy Court. This is the first step in the company’s attempt to emerge successfully from Chapter 11 proceedings, which it hopes will happen in the first half of next year. The Plan requires approval from creditors and the Court.

Among the corporate initiatives already put in place by Hayes Lemmerz are rationalisation of manufacturing and marketing and divesting non-core assets. It is understood that the plan involves Hayes Lemmerz paying creditors $425 million in notes and common stock in the reorganised company and assuming a debt of $650 million..