The Official Committee of Unsecured Creditors of Brazos Electric Power Cooperative, Inc.

Case No. 21-30725


Case Background

On March 1, 2021 (the "Petition Date"), Brazos Electric Power Cooperative, Inc. (the "Debtor") filed a voluntary petition for relief under Chapter 11 of the United States Bankruptcy Code (the "Debtor's Case"). The Debtor's Case was assigned Case No. 21-30725 and is pending before the Honorable David R. Jones in the United States Bankruptcy Court for the Southern District of Texas.

The questions and answers that follow provide general information concerning the Debtor's Case, the Official Committee of Unsecured Creditors of Brazos Electric Power Cooperative, Inc. (the “Committee”), and various topics related to the Debtor's Case and the Committee.  Please note that nothing contained herein is or is intended to be legal advice to any party in the Debtor's Case, and is being provided for convenience only; you should consult with your own lawyer regarding your rights, as applicable.

What is the Committee?

Pursuant to the Bankruptcy Code, the United States Trustee (the “UST”) is authorized to appoint a committee of creditors holding unsecured claims as soon as possible after the filing of a case.  Generally, a creditors’ committee is a group of general unsecured creditors appointed to represent, in a fiduciary capacity, the interests of all general unsecured creditors.  In such role, creditors’ committee acts to protect and promote the interests of general unsecured creditors by, among other things, monitoring a debtor’s business operations, investigating its business and financial affairs, and negotiating the terms of a plan of reorganization.

In accordance with this authority, on March 24, 2021, the UST appointed the Committee [Docket No. 285].

The Committee does not represent individual creditors; it is an estate fiduciary that represents the interests of all unsecured creditors through oversight of and negotiations with the Debtors.  Neither the Committee nor its counsel represents individual creditors that may have claims in the Debtor's Case.

What is the Committee’s role in the Debtor's Cases?

Pursuant to the Bankruptcy Code, the Committee may: (1) consult with the trustee or debtor in possession concerning the administration of the cases; (2) investigate the acts, conduct, assets, liabilities, and financial condition of the Debtors, the operation or the Debtors’ business and the desirability of the continuance of such business, and any other matter relevant to the case or to the formulation of a plan; (3) participate in the formulation of a plan, advise those represented by the Committee of its determinations as to any plan formulated, and collect and file with the court acceptances or rejections of a plan; (4) request the appointment of a trustee of examiner under section 1104 of the Bankruptcy Code; and (5) perform such other services as are in the interest of those represented.

Who are the members of the Committee?

The Committee consists of the following four (4) members: (i) MUFG Bank, Ltd., (ii) Pension Benefit Guaranty Corporation, (iii) Stefano Russolillo, and (iv) Leslie Hixson.

Who represents the Committee?

The Committee selected Kramer Levin Naftalis & Frankel LLP and Porter Hedges LLP as its counsel, FTI Consulting, Inc. as its financial advisor and Lazard Frères & Co. LLC (“Lazard”) as its investment bank advisor.

Questions for Counsel to the Committee can be directed to brazosinquiry@kramerlevin.com.

What is the Section 341 Meeting of Creditors?

Section 341 of the Bankruptcy Code requires that a Debtor's representative appear at a Meeting of Creditors for the purpose of being examined under oath by a representative of the Office of the United States Trustee and by any interested parties that attend the meeting. Creditors are welcome, but not required, to attend the meeting. The Meeting of Creditors occurred on Tuesday, April 6, 2021.

When is the deadline to file claims?

The Bankruptcy Court has set the following deadlines for filing proofs of claim against the Debtor:

  • General Bar Date: June 15, 2021
  • Tort Bar Date: August 5, 2021
  • Governmental Bar Date: September 3, 2021

For more information on submitting a claim, please visit the Debtor’s Chapter 11 website here.


Dates

DonwlaodClaim
March 1 2021 Petition Date   Add to Calendar
June 15 2021 General Bar Date   Add to Calendar
August 5 2021 Tort Bar Date   Add to Calendar
+ SHOW ALL DATES
March 1 2021
Petition Date Add to Calendar
April 6 2021 10:00 a.m. (CT)
Meeting of Creditors Add to Calendar
June 15 2021
General Bar Date Add to Calendar
August 5 2021
Tort Bar Date Add to Calendar

Parties

Counsel to the Committee

  • Kramer Levin Naftalis & Frankel LLP

    1177 Avenue of the Americas
    New York, NY   10036
    https://www.kramerlevin.com/en/
    Phone: 212.715.9100

    Thomas Moers Mayer
    Amy Caton
    Jennifer Sharret

  • Porter Hedges LLP

    1000 Main Street, 36th Floor
    Houston, TX   77002
    https://www.porterhedges.com/
    Phone: 713.226.6000

    John F. Higgins
    M. Shane Johnson
    Megan Young-John

Financial Advisors to the Committee

Investment Banking Advisor to the Committee

Debtor

Case Number Debtor Name Petition Date
Case Number 21-30725 Debtor Name Brazos Electric Power Cooperative, Inc. Petition Date March 01, 2021