Sbarro Inc., along with its domestic subsidiaries, has announced that the U.S. Bankruptcy Court for the Southern District of New York has approved its plan of reorganization, clearing the way for Sbarro to emerge from Chapter 11 on Nov. 28, 2011.

“Today’s ruling marks an important milestone in our efforts to emerge from the bankruptcy process as a stronger business that will be better positioned to serve our customers,” said Nicholas McGrane, interim president and CEO of Sbarro Inc.

McGrane added that when the company emerges from bankruptcy, its debts will have been reduced by about 70 percent and Sbarro Inc. will have access to $35 million in capital provided by its new ownership group.

Sbarro began its preparation for Chapter 11 in April. By mid-May, it had ended the bankruptcy process and was seeking buyers.

In August, Sbarro outlined its restructuring plan that would give ownership of the company to its senior lenders. The plan of reorganization was filed with the U.S. Bankruptcy Court for the Southern District of N.Y. in October.

“The support and commitment of our investors has helped us move through the restructuring process relatively quickly, and thanks to the continued efforts of our employees, our business is performing solidly as we head into our busiest period of the year,” McGrane said.

Read more about operations management.

Related Content

User Comments – Give us your opinion!
Products & Services

Supply Chain Management

http://global.networldalliance.com/new/images/products/6405.png

6405/Supply-Chain-Management

Group Purchasing Services

http://global.networldalliance.com/new/images/products/6403.png

6403/Group-Purchasing-Services

Features

http://global.networldalliance.com/new/images/products/4541.png

4541/Features

FireFly Point-of-Sale

http://global.networldalliance.com/new/images/products/4282.png

4282/FireFly-Point-of-Sale

Facebook Ordering

http://global.networldalliance.com/new/images/products/5935.png

5935/Facebook-Ordering

Put your menu in your customers' pocket

http://global.networldalliance.com/new/images/products/1293.png

1293/Put-your-menu-in-your-customers-pocket

Online Ordering

http://global.networldalliance.com/new/images/products/5931.png

5931/Online-Ordering

Remote Service | Content Management Service

http://global.networldalliance.com/new/images/products/6685.png

6685/Remote-Service-Content-Management-Service

Business Performance Management

http://global.networldalliance.com/new/images/products/6413.png

6413/Business-Performance-Management

Operations Support

http://global.networldalliance.com/new/images/products/6409.png

6409/Operations-Support

Request Information From Suppliers
Save time looking for suppliers. Complete this form to submit a Request for Information to our entire network of partners.