On November 30, 2017, Walter Investment Management Corp. (“Walter” or the “Company”) announced that the Company elected to file a voluntary chapter 11 petition in the United States Bankruptcy Court for the Southern District of New York to execute a prepackaged financial restructuring plan. Through our financial restructuring process, by the end of the first quarter of 2018, the Company expects to have reduced its corporate debt by approximately $800 million (as compared to June 30, 2017) and created financial flexibility that will better enable it to focus on its business, including the growth of its origination and servicing businesses, new technology, innovation and other areas that are critical to its success.
The prepackaged plan incorporates the previously announced agreements the Company reached with certain lenders holding term loans under the Company's Amended and Restated Credit Agreement, dated as of December 19, 2013 (the “lenders”), and certain holders of its outstanding Senior Unsecured Notes due 2021 (the “senior noteholders”). The prepackaged plan has been overwhelmingly approved by the Company’s lenders, senior noteholders, and convertible noteholders.
The Company’s operating subsidiaries, including Ditech Financial LLC and Reverse Mortgage Solutions, Inc., are not expected to commence an in-court restructuring process and are expected to continue business as usual during the time the Company is in chapter 11.
Walter’s case has been assigned to Judge James L. Garrity Jr. and Case No. 17-13446. The Docket can be accessed on this website or through the website maintained by the United States Bankruptcy Court for the Southern District of New York (http://www.nysb.uscourts.gov/).
Additional information, including press releases and frequently asked questions, is available at http://www.walterinvestment.com/restructuring.html.
Important Information & Dates
First Day Hearing
A hearing on the Debtor's First Day Motions was held on December 4, 2017, before the Honorable James L. Garrity Jr., United States Bankruptcy Court for the Southern District of New York, One Bowling Green, Room 601, New York, New York 10004. A final hearing on the First Day Motions was held on December 21, 2017 at 10:00 a.m. (ET).
Please click below to view and download the Debtor's First Day Motions and Orders:
Plan and Disclosure Statement
On November 30, 2017, the Debtors filed their Chapter 11 Plan of Reorganization and the Disclosure Statement related thereto. On December 7, 2017, the Bankruptcy Court entered an order approving the Disclosure Statement. On January 18, 2018, the Bankruptcy Court entered an order confirming the Plan. On February 9, 2018, the Effective Date of the Plan occurred, and the Plan was consummated.
A copy of the Notice of Effective date can be found by clicking the following link:
Please click below to view and download the Debtor's Plan and Disclosure Statement:
First Day Hearing
Second Day Hearing
Weil, Gotshal & Manges LLP
767 Fifth Avenue
New York, NY 10153
Ray C. Schrock, P.C.
Matthew S. Barr
United States Trustee and Court Information
Office of the United States Trustee
U.S. Federal Office Building
201 Varick Street, Suite 1006
New York, NY 10004
United States Bankruptcy Court
Southern District of New York
One Bowling Green
New York, NY 10004-1408
Honorable James L. Garritty, Jr.
|17-13446||Walter Investment Management Corporation||November 30, 2017|