JAY — Verso Corp. announced Wednesday in a news release that it received final approval from the U.S. Bankruptcy Court in the District of Delaware for a variety of first-day motions related to its voluntary restructuring under Chapter 11 of the U.S. Bankruptcy Code.

These final orders issued by the court will allow Verso to continue operating its business in the ordinary course as it restructures its balance sheet.

Verso and 26 subsidiaries filed voluntary petitions with the U.S. Bankruptcy Court in the District of Delaware to reorganize under Chapter 11 of the U.S. Bankruptcy Code on Jan. 26. One of those subsidiaries is Verso Androscoggin LLC, which is connected to the Androscoggin Mill in Jay.

“With the approval of our first-day motions, including the authorization of up to $600 million in debtor-in-possession financing, Verso has transitioned smoothly into the Chapter 11 process,” David J. Paterson, Verso president and chief executive officer, said. “As we move forward with our efforts to strengthen Verso’s balance sheet and position the company for long-term success, the court’s approval of these first-day motions provides confidence that Verso has the ability to continue operating our business as usual throughout the restructuring process.”

The approved motions authorize Verso to, among other things, continue to pay employee salaries, wages and benefits, make qualified retirement-plan payments, honor customer programs and pay suppliers in the ordinary course of business for post-petition goods and services. The approval of the motion grants Verso authority to access up to $600 million in debtor-in-possession financing that provides the company with significant operational flexibility and sufficient liquidity that Verso believes will support its ongoing operations for the foreseeable future during the Chapter 11 process.


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