SYS-CON MEDIA Authors: Carmen Gonzalez, Sean Houghton, Glenn Rossman, Ignacio M. Llorente, Xenia von Wedel

News Feed Item

Alsacia & Express Announce Entry into a Restructuring and Plan Support Agreement with Informal Group of Noteholders to Effect the Restructuring of the Existing Notes

SANTIAGO DE CHILE, Chile, Aug. 31, 2014 /PRNewswire/ -- Inversiones Alsacia S.A. and Express de Santiago Uno S.A. (together with their subsidiaries and affiliates, the "Company") announced today that they have entered into a Restructuring Plan Support Agreement (the "Agreement") with an informal group of holders (the "Informal Group") that, collectively, holds more than 60% of the principal amount of the Company's 8% senior secured notes due 2018 (the "Existing Notes") to restructure the Existing Notes through a prepackaged plan of reorganization filed under Chapter 11 in the United States (the "Plan"). 

A Company spokesperson commented, "With this agreement, the Company expects to continue to provide uninterrupted bus services to the citizens of Santiago and will continue to meet its obligations to its vendors and employees, who will not be negatively impacted in any way by the Agreement."

The Company has not experienced and does not expect to experience any disruptions in its operations during its reorganization process. Specifically, the Company expects to continue to:

  • operate its full schedule of services to the citizens of Santiago;
  • provide its employees with wages, healthcare coverage, vacation days, and similar benefits without interruption; and
  • pay suppliers for goods and services received throughout the reorganization process.

No other creditors or suppliers have been, or should be, affected by the restructuring of the Existing Notes that is to be implemented in accordance with the Plan.  The Company remains current on all of its other obligations as of the date of this announcement.

Under the terms and conditions of the Plan, qualified holders of Existing Notes will receive new notes (the "New Notes") issued by the Company with a principal amount equal to the principal amount of the Existing Notes that they hold plus accrued and unpaid interest thereon.  The New Notes will have an initial maturity of December 31, 2018, which may be extended in the event that the Company successfully obtains extensions of its concessions through at least April 2021.  The New Notes will bear interest at a rate of 8.0% per annum, which is the same as the interest rate applicable to the Existing Notes, and will have semi-annual mandatory amortizations as set forth in the Plan, as well as mandatory redemptions in the event that the Company generates excess cash.  Further detail on the terms and conditions of the New Notes is contained in the description of notes included as an exhibit to the Plan.  Confirmation of the Plan remains subject, among other things, to the successful solicitation of consents and confirmation by the U.S. Bankruptcy Court for the Southern District of New York.

A copy of the Agreement, including the Plan, the description of notes and the proposed form of cash collateral order attached thereto, is available on the Company's website (www.exps1.cl or www.alsacia.cl) under the heading "Inversionistas – Comunicados y Noticias" for both Inversiones Alsacia S.A. and Express de Santiago Uno S.A.

Important Note

The restructuring described above is subject to the satisfaction of closing conditions and is not an offer to sell securities or a solicitation of an offer to purchase any securities.  This release is not intended as a solicitation for a vote on the Plan.

Forward Looking Information / Projections

The materials set forth and referenced herein contain certain statements that are "forward looking statements".  These statements are subject to a number of assumptions, risks, and uncertainties, many of which are and will be beyond the control of the Company including the continuing availability of sufficient borrowing capacity or other financing to fund future principal payments of debt, existing and future governmental regulations and actions of government bodies and other market and competitive conditions.

These statements speak as of the date indicated and are not guarantees of future performance.  Actual results or developments may differ materially from the expectations expressed or implied in the forward-looking statements, and the Company undertakes no obligation to update any such statements.

Projections also are included in the materials set forth and referenced herein.  Such projections have not been examined by auditors. The projections, while presented with numerical specificity, are necessarily based on a variety of estimates and assumptions which, though considered reasonable by the Company, may not be realized and are inherently subject to significant business, economic, competitive, industry, regulatory, market and financial uncertainties and contingencies, many of which are and will be beyond the Company's control.  The Company cautions that no representations can be made or are made as to the accuracy of the projections or to the Company's ability to achieve the projected results. Some assumptions may prove to be inaccurate.  Moreover, events and circumstances occurring subsequent to the date on which the projections were prepared may be different from those assumed, or, alternatively, may have been unanticipated, and thus the occurrence of these events may affect financial results in a materially adverse or materially beneficial manner.

SOURCE Inversiones Alsacia S.A.; Express de Santiago Uno S.A.

More Stories By PR Newswire

Copyright © 2007 PR Newswire. All rights reserved. Republication or redistribution of PRNewswire content is expressly prohibited without the prior written consent of PRNewswire. PRNewswire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

Latest Stories
"Matrix is an ambitious open standard and implementation that's set up to break down the fragmentation problems that exist in IP messaging and VoIP communication," explained John Woolf, Technical Evangelist at Matrix, in this SYS-CON.tv interview at @ThingsExpo, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
P2P RTC will impact the landscape of communications, shifting from traditional telephony style communications models to OTT (Over-The-Top) cloud assisted & PaaS (Platform as a Service) communication services. The P2P shift will impact many areas of our lives, from mobile communication, human interactive web services, RTC and telephony infrastructure, user federation, security and privacy implications, business costs, and scalability. In his session at @ThingsExpo, Robin Raymond, Chief Architect...
What do a firewall and a fortress have in common? They are no longer strong enough to protect the valuables housed inside. Like the walls of an old fortress, the cracks in the firewall are allowing the bad guys to slip in - unannounced and unnoticed. By the time these thieves get in, the damage is already done and the network is already compromised. Intellectual property is easily slipped out the back door leaving no trace of forced entry. If we want to reign in on these cybercriminals, it's hig...
We are reaching the end of the beginning with WebRTC, and real systems using this technology have begun to appear. One challenge that faces every WebRTC deployment (in some form or another) is identity management. For example, if you have an existing service – possibly built on a variety of different PaaS/SaaS offerings – and you want to add real-time communications you are faced with a challenge relating to user management, authentication, authorization, and validation. Service providers will w...
"ElasticBox is an enterprise company that makes it very easy for developers and IT ops to collaborate to develop, build and deploy applications on any cloud - private, public or hybrid," stated Monish Sharma, VP of Customer Success at ElasticBox, in this SYS-CON.tv interview at DevOps Summit, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
The term culture has had a polarizing effect among DevOps supporters. Some propose that culture change is critical for success with DevOps, but are remiss to define culture. Some talk about a DevOps culture but then reference activities that could lead to culture change and there are those that talk about culture change as a set of behaviors that need to be adopted by those in IT. There is no question that businesses successful in adopting a DevOps mindset have seen departmental culture change, ...
Explosive growth in connected devices. Enormous amounts of data for collection and analysis. Critical use of data for split-second decision making and actionable information. All three are factors in making the Internet of Things a reality. Yet, any one factor would have an IT organization pondering its infrastructure strategy. How should your organization enhance its IT framework to enable an Internet of Things implementation? In his session at Internet of @ThingsExpo, James Kirkland, Chief Ar...
WebRTC defines no default signaling protocol, causing fragmentation between WebRTC silos. SIP and XMPP provide possibilities, but come with considerable complexity and are not designed for use in a web environment. In his session at @ThingsExpo, Matthew Hodgson, technical co-founder of the Matrix.org, discussed how Matrix is a new non-profit Open Source Project that defines both a new HTTP-based standard for VoIP & IM signaling and provides reference implementations.
The 4th International DevOps Summit, co-located with16th International Cloud Expo – being held June 9-11, 2015, at the Javits Center in New York City, NY – announces that its Call for Papers is now open. Born out of proven success in agile development, cloud computing, and process automation, DevOps is a macro trend you cannot afford to miss. From showcase success stories from early adopters and web-scale businesses, DevOps is expanding to organizations of all sizes, including the world's large...
DevOps Summit 2015 New York, co-located with the 16th International Cloud Expo - to be held June 9-11, 2015, at the Javits Center in New York City, NY - announces that it is now accepting Keynote Proposals. The widespread success of cloud computing is driving the DevOps revolution in enterprise IT. Now as never before, development teams must communicate and collaborate in a dynamic, 24/7/365 environment. There is no time to wait for long development cycles that produce software that is obsolete...
The definition of IoT is not new, in fact it’s been around for over a decade. What has changed is the public's awareness that the technology we use on a daily basis has caught up on the vision of an always on, always connected world. If you look into the details of what comprises the IoT, you’ll see that it includes everything from cloud computing, Big Data analytics, “Things,” Web communication, applications, network, storage, etc. It is essentially including everything connected online from ha...
The security devil is always in the details of the attack: the ones you've endured, the ones you prepare yourself to fend off, and the ones that, you fear, will catch you completely unaware and defenseless. The Internet of Things (IoT) is nothing if not an endless proliferation of details. It's the vision of a world in which continuous Internet connectivity and addressability is embedded into a growing range of human artifacts, into the natural world, and even into our smartphones, appliances, a...
SAP is delivering break-through innovation combined with fantastic user experience powered by the market-leading in-memory technology, SAP HANA. In his General Session at 15th Cloud Expo, Thorsten Leiduck, VP ISVs & Digital Commerce, SAP, discussed how SAP and partners provide cloud and hybrid cloud solutions as well as real-time Big Data offerings that help companies of all sizes and industries run better. SAP launched an application challenge to award the most innovative SAP HANA and SAP HANA...
Connected devices and the Internet of Things are getting significant momentum in 2014. In his session at Internet of @ThingsExpo, Jim Hunter, Chief Scientist & Technology Evangelist at Greenwave Systems, examined three key elements that together will drive mass adoption of the IoT before the end of 2015. The first element is the recent advent of robust open source protocols (like AllJoyn and WebRTC) that facilitate M2M communication. The second is broad availability of flexible, cost-effective ...
Scott Jenson leads a project called The Physical Web within the Chrome team at Google. Project members are working to take the scalability and openness of the web and use it to talk to the exponentially exploding range of smart devices. Nearly every company today working on the IoT comes up with the same basic solution: use my server and you'll be fine. But if we really believe there will be trillions of these devices, that just can't scale. We need a system that is open a scalable and by using ...