Gottschalks (fka GOTTQ)

[PINK TRADE]

General Electric Credit (GECC) filed with the U.S. Bankruptcy Court an objection to Gottschalks’ motion to enforce the D.I.P. financing order. The objection states that in seeking to compel GECC to turn over funds being held as security for the Debtor’s obligation under the final D.I.P. order, the Company ignores or misinterprets the plain terms of that order. According to GECC, the Court order, among other things, provides that all funds held by GECC constitute D.I.P. collateral that secure and are to be applied in reduction of all D.I.P. obligations and pre-petition obligations of the Company to GECC.