Situation

After being unable to meet loan obligations and failed attempts to sell unprofitable businesses, Covanta Energy, Inc. filed for Chapter 11 in early 2002.

Summary of Execution and Results

Members of ToneyKorf were part of the debtors’ advisory team and assisted in the pre-bankruptcy planning and filing process through the consummation of a plan of reorganization. The plan of reorganization was not consolidated and involved the separate assets, claims, and stakeholder interests of more than 125 individual debtor cases.  Three separate Plans of Reorganization were confirmed and claims were adjudicated according to each Plan of Reorganization.

The company emerged from bankruptcy reorganization and continues to operate.