Delaware Business Bankruptcy Report: Morris James LLP Lawyers and Attorneys

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Leiner Health Products Inc., a manufacturer of store brand vitamins, minerals, and nutritional supplements, today filed a voluntary Chapter 11 petition in the United States Bankruptcy Court for the District of Delaware.  The Honorable Kevin J. Carey is presiding over the case.

According to the website the debtor has set up to disseminate information about its case, “Leiner intends to use the Chapter 11 process to restructure its debt obligations and explore the sale of the business.”  

Related entities filing petitions today include LHP Holding Corp., Leiner Health Products, LLC and Leiner Health Services Corp.

UPDATED ON MARCH 11, 2008:
The debtors have filed a motion seeking approval of debtor-in-possession financing in the amount of $74 million.  The proposed maturity date of this DIP facility is the earlier of July 31, 2008, or other possible events in the case including the closing date of a sale of all or substantially all the debtor's assets under section 363 of the Bankruptcy Code, the conversion of the case to a case under Chapter 7, the effective date of a plan of reorganization, the date on which all the loans have been repaid in full or the date of the termination of all of the commitments under the DIP facility.

The first day hearing in this case is scheduled for March 12, 2008 at 11:00 a.m.