Energy Future Files $42 Billion Chapter 11 Reorganization Plan
Texas energy giant Energy Future Holdings Corp. has filed the restructuring plan that outlines how it hopes to reshape a $42 billion debt load and exit bankruptcy.
Proposed settlements of many of the disputes that have divided Energy Future’s creditors are built into the proposal, which must undergo several stages of testing in bankruptcy court before being implemented.
Court papers say Energy Future is retaining the option to sell its valuable stake in Oncor to an outsider as part of a long-planned auction, or pursue an alternative transaction. The company still plans to spin off its Texas Competitive Electric division, court papers say.