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31st August 2007 - Federal-Mogul Receives Court Approval for $3.5 Billion Finance Package

On Wednesday the 29th of August 2007 the U.S. Bankruptcy Court in Wilmington, Delaware issued approvals allowing Federal-Mogul to sign loan-commitments with Citigroup and JP Morgan Chase & Co.

The $3.5 billion finance package is designed to move the auto-parts maker out of Chapter 11 bankruptcy.  This financing will replace current bankruptcy loans.

Federal-Mogul has been in bankruptcy protection since October 2001 as a result of asbestos liabilities.

Source: Various Sources

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BM Automotive
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