This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Energy Future Pursues Restructuring After Debt Payments Miss

Stocks in this article: GS

Energy Future Holdings is being advised on its restructuring by Kirkland & Ellis LLP and Evercore Partners Inc. Rick Cieri and Edward Sassower are leading the legal team at Kirkland & Ellis. Roger Altman is helming the financial advisory contingent from Evercore Partners.

First-lien lenders are being advised by Paul, Weiss, Rifkind, Wharton & Garrison LLP and Millstein & Co. The Millstein group working on the restructuring includes CEO Jim Millstein, vice president Adam Preiss, managing director Elizabeth Abrams and partner Jane Vris.

Tim Coleman and Steven Zelin, senior managing directors at Blackstone Group LP, are assisting the private equity group, which is also being advised by legal counsel Richard G. Mason and Austin T. Witt at Wachtell, Lipton, Rosen & Katz.

According to SEC filings, the company had $763 million in cash on its balance sheet as of March 25.

If Energy Future Holdings fails to make up the missed interest payments by the end of the grace period and doesn't file for bankruptcy protection by then, the company would default on the debt and it would become payable immediately if at least 30% of the noteholders agree.

If Energy Future Holdings defaults on its debt, the repayment of $22.635 billion in secured debt and $5.237 billion in unsecured notes would also be accelerated.

On Monday, Energy Future Holdings also failed to file its annual report on time. The company noted that the annual report will contain a warning raising substantial doubt about the company's ability to continue as a going concern due to its anticipated problems repaying debt obligations due in 2014.

A company spokesman declined to comment.

2 of 2

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 18,053.71 +23.50 0.13%
S&P 500 2,088.77 +6.89 0.33%
NASDAQ 4,806.8590 +33.3870 0.70%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs