Phoenix Services LLC Emerges from Chapter 11

Business News

RADNOR, PA — Phoenix Services LLC announced that it recently successfully completed its financial restructuring process and has emerged as a reorganized company from its chapter 11 case after only nine months. Phoenix’s Chapter 11 plan and the transactions contemplated thereunder were supported by the Company’s lenders, who provided $45 million in new-money exit financing to support the operations going forward.

Through its successful restructuring efforts, Phoenix has:

  • deleveraged its balance sheet by more than $400 million;
  • strengthened its portfolio of customer contracts;
  • preserved more than 1500 employee positions across the United States and internationally;
  • successfully restructured its capital lease portfolio; and
  • assumed over 200 contracts with important counterparties.

“This milestone marks the final step in the Phoenix’s comprehensive restructuring,” said Mark Porto, Chief Executive Officer of Phoenix Services LLC. “As we launch this next phase of the company’s story, I want to express my sincere gratitude to our employees for their unwavering dedication to safety, reliability, and operational excellence at all of our sites. With a deleveraged balance sheet, strengthened customer and lease portfolios and a committed workforce, Phoenix Services is well positioned to realize its long-term growth potential.”

Phoenix Services LLC was advised by Weil, Gotshal & Manges LLP and Richards, Layton & Finger, P.A. as its legal advisors, AlixPartners, LLP as its financial advisor, PJT Partners LP as investment bankers and Sitrick And Company as strategic communications advisors.

Gibson, Dunn & Crutcher LLP served as counsel and Evercore served as financial advisor for the ad hoc group of first lien lenders.

For additional information about the cases please visit http://cases.stretto.com/phoenix.

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