A U.S. bankruptcy court has approved the disclosure statement for a reorganization plan filed by RH Donnelley Corp, bringing the bankrupt Yellow Pages company a step closer to exiting Chapter 11 protection.
In a statement, the company said it will now begin soliciting votes from creditors for the reorganization plan.
"Today's approval keeps us on track to complete a successful reorganization by the end of January 2010," Chief Executive David Swanson said.
RH Donnelley filed for protection from creditors in May after reaching an agreement to cut billions of dollars in debt amassed during years of acquisitions.
Under its reorganization plan, RH Donnelley would slash its debt by about $6.4 billion and be left with a post-restructuring cash balance of about $125 million.
A hearing to consider confirmation of the reorganization plan is scheduled for Jan. 12, 2010.
The case is In re: R.H. Donnelley Corp, U.S. Bankruptcy Court, District of Delaware, No 09-11833.
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