Vitro SAB (VITROA) is set to learn next week whether it can enforce its Mexican bankruptcy plan in the U.S. after the glassmaker clashed with bondholders in court over the plan.
U.S. Bankruptcy Judge Harlin DeWayne Hale in Dallas said in court yesterday that he plans to rule on Vitro’s enforcement motion next week, probably by June 13.
Vitro, which has won approval for the bankruptcy plan in Mexico, is seeking an order from Hale enforcing the restructuring and stopping litigation by bondholders who have been fighting the plan in the U.S. and Mexico in an effort to collect on $1.2 billion in defaulted bonds.
Andrew Leblanc, an attorney for Vitro, said in his closing argument yesterday that the Mexican approval is “worthy of respect” in the U.S. and should be enforced.
“Vitro hangs in the balance,” he said.
The case is in re Vitro SAB, 11-33335, U.S. Bankruptcy Court, Northern District of Texas (Dallas).
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