InSight Health Services Holdings Corp Receives Approval of First Day Motions
Published: Dec 15, 2010
LAKE FOREST, Calif.--(BUSINESS WIRE)--As previously announced, InSight Health Services Holding Corp. (the “Company”) (OTCBB: ISGT) and its subsidiaries have commenced a prepackaged reorganization under chapter 11 of the United States Bankruptcy Code in New York to deleverage the Company’s balance sheet, reducing its debt obligations by more than $290 million by eliminating its senior secured floating rate notes due 2011 from its balance sheet. Today, the Company announced that it received court approval of its first day motions. In particular, the bankruptcy court granted interim approval for the Company’s $15 million debtor-in-possession financing provided by Bank of America, N.A. and use of its cash resources. The financing and the Company’s cash from operations will provide the Company with the financial flexibility to meet its ongoing financial obligations, including employee wages, healthcare benefits, vendor payments and all other operating expenses.