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Vultures In The Valley?


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VULTURES IN THE VALLEY?

BENNETT LEBOW IS SET TO bring New Valley out of bankruptcy--but some investors aren't happy. LeBow's reorganization plan hinges on the sale to First Financial Management of most of New Valley's Western Union operations, for $893 million. Creditors, including Carl Icahn and Apollo Partners, would get $603 million of that, and holders of New Valley's Class A preferred--including LeBow's Brooke Group--would have a claim on the rest. A shareholder group is suing to keep Brooke from recovering any asset-sale proceeds. Carole Neville, a lawyer for the group, says the plan would make New Valley a "shell company." LeBow says most complaints are from "vulture investors."EDITED BY KEITH H. HAMMONDS


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