Mercerville, NJ, August 8--Congoleum Corporation today announced that Congoleum and the trustee for Congoleum's 8 5/8% Senior Notes Due 2008 have adopted certain amendments to the indenture governing the notes.
Those adopted amendments are intended to expressly provide Congoleum with greater flexibility to pursue approval of its pre-packaged plan of reorganization under Chapter 11 of the Bankruptcy Code. Congoleum sought the bondholders' approval of those amendments as part of its strategy to resolve its asbestos liabilities. Holders of a majority of the outstanding notes as of the record date consented to the proposed amendments, which satisfied the vote required to amend the indenture. The solicitation was made upon the terms and subject to the conditions set forth in the Consent Solicitation Statement dated July 30, and related documents.
Roger S. Marcus, Chairman of the Board, commented "We are continuing with our reorganization plan and appreciate this further affirmation of support from our bondholders."
