I.B.C. asks lenders to increase borrowing capacity
April 02, 2008
by Eric Schroeder
KANSAS CITY — Interstate Bakeries Corp. on Wednesday asked its lenders to increase the aggregate principal amount available under the DIP agreement to $250 million from $200 million as well as extend the maturity date of the agreement to Sept. 30. In exchange, I.B.C. said it would request proposals from interested buyers by April 21. In addition, I.B.C. agreed to deliver by June 30 a schedule of asset sales that the company believes will generate proceeds sufficient to reduce outstanding commitments under the DIP agreement to zero.