Sears Holdings Corp. (fka SHLDQ)

[chemist72]

Don't think SHC can be any more clear about the ultimate fate of their bankruptcy proceeding than what they have stated in their latest disclosure statement (Docket 3895).

Below are several quotes from that disclosure statement.

The Debtors commenced these Chapter 11 Cases with the goal of selling substantially all of their assets (the “Global Assets”) as a going concern.

The Plan contemplates a Wind Down of the remaining assets of the Debtors’ estates—primarily litigation claims—and a distribution to creditors in accordance with the absolute priority rule and certain settlements, as described herein.

The Liquidating Trustee will, among other things, be responsible for all decisions and duties with respect to the Wind Down, General Assets, Specified Causes of Action, and/or Credit Bid Release Consideration, and will have the authority and right on behalf of the Debtors to carry out and implement all provisions of the Plan.

The liquidating trust shall be established for the sole purpose of liquidating and administering the Liquidating Trust Assets (defined below) of the Debtors in accordance with Treas. Reg. 301.7701-4(d) (the “Liquidating Trust Assets”), with no objective to continue or engage in conduct of a trade or business (the “Liquidating Trust”). From and after the Effective Date, all assets of the Debtors that are not distributed on or prior to the Effective Date will become Liquidating Trust Assets. On the Effective Date, and in accordance with sections 1123 and 1141 of the Bankruptcy Code and pursuant to the terms of the Plan, all title and interest in all of the Liquidating Trust Assets, as well as the rights and powers of each Debtor in such Liquidating Trust Assets, shall automatically vest in the Liquidating Trust, free and clear of all Claims and Interests for the benefit of the Liquidating Trust Beneficiaries. Upon the transfer of the Liquidating Trust Assets, the Debtors shall have no interest in or with respect to the Liquidating Trust Assets or the Liquidating Trust.

The Plan contemplates an orderly liquidation of the Debtors’ assets and distributions in the following order of recovery from the identified sources.

The following table summarizes (i) the treatment of Claims and Interests under the Plan, (ii) which Classes are impaired by the Plan, (iii) which Classes are entitled to vote on the Plan, and (iv) the estimated recoveries for holders of Claims and Interests to the extent calculable. The recoveries are qualified in their entirety by reference to the full text of the Plan.

Class: 9
Claim or Interest: Existing SHC Equity Interests
Treatment: On the Effective Date, all Existing SHC Equity Interests shall be cancelled. Each such holder thereof shall neither receive nor retain any property of the Estate or direct interest in property of the Estate of SHC on account of such Existing SHC Equity Interest.
Impaired or Unimpaired: Impaired No (Deemed to Reject)
Entitled to Vote: No (Deemed to Reject)
Estimated Allowed Claim ($): N/A
Estimated Recovery (%): 0.0%