The U.S. Bankruptcy Court approved Arch Coal’s motion for an order authorizing the Debtors to enter into a new insurance premium finance agreement.
As previously reported, “The Debtors’ ability to maintain and honor their insurance policies in a timely manner is critical to the ongoing operation of their businesses and their successful reorganization. The annual premiums due under the Insurance Program total approximately $13.6 million….Based on the information received from the broker, the Debtors determined that BankDirect offered the most advantageous terms for such financing and negotiated the Agreement with BankDirect to finance the premiums of $2,338,748.65 at a 3.55% interest rate. The Agreement requires the Debtors to make an initial down payment of $835,000, followed by three quarterly payments in the amount of $508,726.82 on the 30th day of each quarter starting on September 30, 2016.”
Read more Arch Coal bankruptcy news.
The post Arch Coal Agreement Approved appeared first on Daily Bankrupt Company Updates | Bankrupt Company News.