PL Bankruptcy News 4/12
The Bankruptcy hearings have been postponed and will be continued in two weeks, right around the same time when the Forest Defense Skillshare camp out will be taking place.Various news sources are reporting that Maxxam is likely going to lose the company. MRC/Marathon and the Noteholders are in major disagreement over the value of the company. MRC/Marathon say it's $500 million, the Noteholders contend it's $600 mil.
Here's what some people are saying.
"If one were looking to symbolize a paradigm shift, you’d only have to compare the hulking avuncular (PL Pres.) O’Brien with (MRC Chairman) Sandy Dean, the perennial kid brother, mercurial, always with the tricky moves.
But the paradigm is not shifting all that easily. There are major resentments against McMarathon on the parts of the ‘Notes’. (PL bankruptcy slang for the Scopac note holders) that carries over to their lawyers. It occasionally breaks into flat out conflict when one or another attorney tries to push the envelope trying get useful testimony from the other side’s witness. The objecting and yelling and carrying on is first-rate entertainment."
As for Palco's own plan to reorganize Scotia Pacific by selling 22,000 acres off for an exclusive high-end subdivision for the
wealthy, (Judge) Schmidt plainly said he did not believe it was feasible.
”It sounds to me that that plan is dead in the water,” he said.
PALCO officials aren’t ruling out the residential development proposal that (PL V.P.) Bacik said provides for a range of development options, including an affordable housing component.
And Bacik said he is confident there will be an 11th-hour surprise.
“I don’t believe this case is going to be resolved on any of the plans presently on the table,” Bacik said.