LONDON - McDermott Will & Emery has advised Exide Technologies, a global leader in stored electrical energy solutions, on the UK tax aspects of the company’s exit finance structuring in conjunction with its emergence from Chapter 11.
On May 5, 2004, Exide announced that it had emerged from Chapter 11 and that its plan of reorganization had become effective, with new common stock to begin trading on NASDAQ under the symbol “XIDE” on May 6. 2004.
The successful completion of the reorganization process has enabled the company to resolve financial issues and improve operations, and strengthen its position as an industry leader in the transportation and industrial markets worldwide. Exide has reduced its debt by approximately $1.3 billion, or more than 70 percent, to approximately $540 million, and reduced its annual interest payments by approximately $70 million. Additionally, the company implemented a number of cost reduction initiatives including the closure or consolidation of certain manufacturing and distribution facilities, reductions in workforce and corporate overhead, and making quality and productivity improvements.
The McDermott Will & Emery team was led by partner Peter Nias, Head of Tax in London.