RHI Preps Vote on Chapter 11 Filing

NEW YORK: In an SEC filing, RHI Entertainment says it has begun soliciting votes from lenders for a Chapter 11 plan of reorganization.

The solicitation period runs through November 15. If the reorganization plan is approved, RHI says it intends "to continue operating their businesses in the ordinary course and to promptly seek the necessary relief from the bankruptcy court to pay the claims of certain critical, priority and foreign vendors and the vast majority of their employees’ claims in full and on time in accordance with their existing business terms."

In a letter to lenders, Robert Halmi, Jr., RHI’s president and CEO, noted: "We believe that the plan is the best available alternative for all stakeholders. Therefore, we urge all first lien lenders and all second lien lenders to vote to accept the plan."