Xerium Technologies Inc fka XRM (XRM)

[BooDog]

UPDATE 1-Xerium files "pre-packaged" bankruptcy* Seeks to cut debt by $150 mln

* Expects court process to be over in 30 to 60 days

* Lists assets of $693.5 mln, debt of $813.2 mln

March 30 (Reuters) - Industrial textiles manufacturer Xerium Technologies Inc (XRM.N) on Tuesday filed for Chapter 11 protection in a Delaware court under a pre-arranged deal with its lenders to cut debt by about $150 million.

The company said it expects the court process to be completed in 30 to 60 days.

"The restructuring involves Xerium's companies located in the United States, Canada, Austria and its non-operating holding companies in Italy and Germany," the company said in a statement.

Operating entities in Europe, Asia, South America, Italy, and Germany were not part of the court process or the restructuring, it said.

Xerium also said it had secured a commitment from its lenders for an $80 million term and revolving credit facility and had filed motions seeking the court's approval for the financing.

In court papers, the company listed total assets of $693.5 milion and total debt of $813.2 million.

Under the restructuring plan, about $620 million of existing debt would be exchanged for $10 million in cash, $410 million in new term loans maturing in 2015 and about 82.6 percent of the company's common stock, Xerium said.

Current shareholders would retain a minority ownership interest of about 17.4 percent in the company and would receive warrants to buy up to an additional 10 percent of the common stock.

Raleigh, North Carolina-based Xerium has 32 manufacturing facilities in 13 countries and over 3,370 employees worldwide, according to the company's website.

The case is In re: Xerium Technologies Inc, U.S. Bankruptcy Court, District of Delaware (Delaware), No: 10-11031. (Reporting by Santosh Nadgir in Bangalore; Editing by Maju Samuel)