ROTTERDAM, Netherlands, Feb. 26 /PRNewswire/ -- The United States Bankruptcy Court for the Southern District of New York has granted the preliminary injunction sought by Lyondell Chemical Company preventing certain creditors from proceeding against its parent company, LyondellBasell Industries AF S.C.A.
LyondellBasell is now able to move forward with the reorganization of its worldwide businesses without the threat of having assets eroded by certain claims against entities outside of bankruptcy protection. The injunction is effective for 60 days and provides LyondellBasell with time to evaluate all available options for protecting its worldwide businesses.
The injunction prevents various creditors from enforcing pre-petition guarantees that were issued by LyondellBasell Industries AF S.C.A. for obligations of entities included in Chapter 11 protection. The injunction also prevents holders of record and beneficial owners of the 8 3/8% Senior Notes due 2015 issued by LyondellBasell Industries AF S.C.A. from, among other things, taking any action to accelerate the maturity of these notes.
The injunction was granted today following a hearing on Monday before the Honorable Robert E. Gerber, United States Bankruptcy Judge, at the United States Bankruptcy Court for the Southern District of New York. The court had previously issued a temporary restraining order on Feb. 6, which was subsequently extended on Feb. 13 and then again on Feb. 23.
LyondellBasell Industries' U.S. operations and one of its European holding companies voluntarily filed to reorganize under Chapter 11 of the U.S. Bankruptcy Code on Jan. 6, 2009 in order to facilitate a restructuring of its debts. Lyondell Chemical Company is one of the 79 LyondellBasell entities included in this filing. Lyondell and certain of its subsidiaries and affiliates continue to operate and manage their businesses as they proceed with restructuring and reorganization efforts.
A copy of the relevant documents associated with this case may be found on the internet at: http://chapter11.epiqsystems.com/lyondellbasellindustries or from LyondellBasell's web site at www.lyondellbasell.com. The case number for the bankruptcy action is 09-10023
LyondellBasell Industries is one of the world's largest polymers, petrochemicals and fuels companies. The company is the global leader in polyolefins technology, production and marketing; a pioneer in propylene oxide and derivatives; and a significant producer of fuels and refined products, including biofuels. Through research and development, LyondellBasell develops innovative materials and technologies that deliver exceptional customer value and products that improve quality of life for people around the world. Headquartered in The Netherlands, LyondellBasell (http://www.lyondellbasell.com/) is privately owned by Access Industries.
SOURCE: LyondellBasell Industries
Web site: http://www.lyondellbasell.com/
Media Contact: David A. Harpole, +1 713 309 4125