Court confirms Mrs. Fields plan of reorganization

by Eric Schroeder
Share This:

SALT LAKE CITY — Mrs. Fields’ Original Cookies, Inc. plan of reorganization has been confirmed by the U.S. Bankruptcy Court for the District of Delaware. As part of the plan, Mrs. Fields said it has acquired a 3-year, $10 million senior term credit facility from a select group of its note holders that will be used, in conjunction with cash flows from normal operations, to support the company’s go-forward operations and working capital needs. In addition, the company said it has improved its balance sheet by exchanging bondholder debt for cash, new bonds and a controlling equity stake in the reorganized company. "This is a remarkable day for everyone associated with Mrs. Fields," said Michael Ward, interim co-chief executive officer. "We are very pleased to have a confirmed plan of reorganization only 40 days after filing our prepackaged bankruptcy petitions, and see this as a testament to the hard work of our outstanding employees, franchisees and vendors, and to the dedication of our loyal customers."

Comment on this Article
We welcome your thoughtful comments. Please comply with our Community rules.

The views expressed in the comments section of Food Business News do not reflect those of Food Business News or its parent company, Sosland Publishing Co., Kansas City, Mo. Concern regarding a specific comment may be registered with the Editor by clicking the Report Abuse link.