Charter Communications' ongoing reorganization saga appears to have taken another turn for the worse. Wells Fargo, one of Charter's major creditor banks, said it wants to file a sealed objection to the cable MSO's reorganization plan prior to a hearing next week. Wells Fargo's objection is being sealed because it contains confidential information.
Facing a debt load of more than $21.7 billion, Charter filed for bankruptcy protection in March. On July 20, a hearing will be held in federal bankruptcy court in Manhattan to decide whether to approve Charter's pre-arranged plan, including the reinstatement of $11.8 billion in debt.
And as if Wells Fargo's objection was not painful enough, Charter could face the wrath of Verizon Communications. Verizon is concerned that Charter's reorganization plan could disable the telco from collecting future award or settlement money from pending patent infringement suits.
For more:
- CED has this report
Related stories
Trustee raps Charter for 'improper' deals for officers
Charter Communications will file for bankruptcy