NEW YORK, Nov. 19, 2010 (GLOBE NEWSWIRE) -- As announced on November 17, 2010, certain members (the "Petitioning Creditors") of the Ad Hoc Group of Vitro Noteholders (the "Ad Hoc Noteholder Group"), comprised of holders, or investment advisors to holders, of the Senior Notes due 2012, 2013 and 2017 (collectively, the "Senior Notes") issued by Vitro S.A.B. de C.V. ("Vitro"), commenced involuntary bankruptcy cases (the "Cases") under chapter 11 of the U.S. Bankruptcy Code against fifteen of Vitro's U.S. subsidiary guarantors (the "U.S. Subsidiary Debtors").
Contrary to Vitro's attempt to characterize the involuntary bankruptcy petitions as actions by "minority dissident bondholders," the petitions are supported by the entire Ad Hoc Noteholder Group, which represents more than $635 million (or more than 50%) in principal amount of the $1.2 billion of the Senior Notes.
The Ad Hoc Noteholder Group and its counsel have fully reviewed the "Tender Offer, Exchange Offer and Consent Solicitation" launched by Vitro in connection with its anticipated prepackaged Concurso plan in Mexico dated November 1, 2010 (the "Solicitation"). The Ad Hoc Noteholder Group continues to oppose the Solicitation, and each member of the Ad Hoc Noteholder Group has agreed neither to tender nor to exchange its Senior Notes in accordance with the terms of the Solicitation.
The Petitioning Creditors, with the support of the Ad Hoc Noteholder Group, last night filed additional motions in the Cases to protect its rights, continues to review all available options and reserves all of its available legal and contractual rights and remedies against Vitro, its affiliates and all other persons or entities actively involved in Vitro's ongoing attempts to avoid paying its legitimate obligations arising under U.S. debt securities.
The foregoing shall not be construed as tax, legal, business, financial, accounting or other advice, and holders of Senior Notes are encouraged to consult their own advisors.
Ad Hoc Noteholder Group