FiberMark Reports Court Approval of Cost Reduction Program, Exit Financing
Fees and Expedited Chapter 11 Scheduling
SECURITIES
AND EXCHANGE COMMISSION
Washington,
D.C. 20549
Current
Report
Pursuant
to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date
of Report: July 20, 2005
(Exact
name of registrant as specified in charter)
Delaware
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001-12865
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82-0429330
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(State
or other jurisdiction of incorporation)
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(Commission
File Number)
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(IRS
Employer Identification No.)
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161
Wellington Road
P.O.
Box 498
Brattleboro,
Vermont 05302
(802)
257-0365
Item
8.01. Other Events and Regulation FD Disclosure
On
July
20, FiberMark issued a press release stating that U.S. Bankruptcy Court for
the
District of Vermont has approved implementation of the company’s cost reduction
program, payment of exit financing fees and expedited chapter 11 scheduling.
This press release shall be deemed "filed" for
purposes of Section 18 of the Securities Exchange Act of 1934.
Item
9.01. Financial Statements and Exhibits
Exhibit
99.1 Press
Release Dated July 20, 2005
SIGNATURE
Pursuant
to the requirements of the Securities Exchange Act of 1934, the Registrant
has
duly caused this report to be signed on its behalf by the undersigned hereunto
duly authorized.
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FiberMark
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Date:
July 20, 2005
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By:
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/s/
John E. Hanley
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John
E. Hanley
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Vice
President and Chief Financial Officer
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EXHIBIT
INDEX
Exhibit
No.
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|
Description
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Exhibit
99.1*
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Press
Release, Dated July 20, 2005
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* Filed herewith
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Exhbit
99.1
FOR
IMMEDIATE RELEASE Contact:
Janice
C. Warren
Director
of
Investor Relations and Corporate Communications
802 257
5981
FiberMark
Reports Court Approval of Cost Reduction Program,
Exit
Financing Fees and Expedited Chapter 11 Scheduling
BRATTLEBORO,
VERMONT, July 20, 2005—FiberMark, Inc. (OTCBB: FMKIQ) today announced that it
has received approval from the U.S. Bankruptcy Court, District of Vermont,
to
implement its cost reduction program. As previously reported, this initiative
is
expected to result in annual net savings of $10 million beginning in 2006.
Also
at today’s hearing, the Court approved lender fees in connection with the
company's anticipated exit financing facility. According to John Hanley,
vice
president and chief financial officer, this is an important step forward
toward
the company’s emergence from chapter 11, and will enable the company to finalize
the financing necessary to implement its Amended Plan of Reorganization and
fund
its post-emergence operations.
The
Court
has also stated that it will expedite the schedule of proceedings for
determining whether to unseal the report recently filed by an independent
examiner with respect to certain issues involving the official creditors
committee. In conjunction with the new schedule, the Court today said that
it
will consider setting a hearing date on the company’s Disclosure Statement
related to its Amended Plan of Reorganization of September 2, 2005, which
will
allow for a determination of the unsealing issue before the commencement
of
voting on the company’s Amended Plan of Reorganization. At today’s hearing, the
Court also provisionally scheduled a hearing to consider confirmation of
the
Amended Plan for October 7. These hearing dates are subject to change. The
company would expect to exit from chapter 11 shortly after obtaining the
necessary approvals from the Bankruptcy Court.
Earlier
this month, following the filing of the independent examiner’s report, the U.S.
trustee disbanded the official creditors committee.
FiberMark,
headquartered in Brattleboro, Vt., is a leading producer of specialty
fiber-based materials meeting industrial and consumer needs worldwide, operating
11 facilities in the eastern United States and Europe. Products include filter
media for transportation and vacuum cleaner bags; base materials for specialty
tapes, electrical and graphic arts applications; wallpaper, building materials
and sandpaper; and cover/decorative materials for office and school supplies,
publishing, printing and premium packaging.
This
document contains forward-looking statements. Actual results may differ
depending on the economy and other risk factors discussed in the company's
Form
10-K/A as filed with the SEC on May 4, 2005, which is accessible on the
company's Web site at www.fibermark.com.