Exide Technologies Files for Chapter 11
Exide Technologies (Princeton, NJ) announced that it has filed for Chapter 11 bankruptcy protection, burdened by large debts and costs from integrating acquisitions. Exide listed assets of $2.07 billion and debts of $2.52 billion in its petition. Exide stated that the Chapter 11 filing offered the best way to restructure and access new capital while continuing to operate on a daily basis.
Exide said it arranged for $415.0 million in new financing, including $250.0 million in debtor-in-possession financing provided by Citicorp USA Inc. and other financial institutions. Citibank NA will provide $165.0 million for Exide's overseas operations. Exide, which employs 6,500 at 19 plants in the US, also has operations in Europe, Asia, Australia and New Zealand that are not included in the bankruptcy filing, according to court papers.