Vitro to ask U.S. court to enforce Mexican reorganization

Vitro SAB will try to convince a U.S. appeals court today that its restructuring should be enforced in the United States, in a case deciding how closely a foreign bankruptcy must conform to U.S. law, according to an October 3 BusinessWeek article.

Elliott Management Corp. and other holders of Vitro’s $1.2 billion in defaulted bonds won a victory in June when U.S. Bankruptcy Judge Harlin Hale in Dallas ruled that the Mexican plan was “manifestly contrary” to U.S. policy. Vitro appealed directly to the U.S. Court of Appeals in New Orleans, where a three-judge panel is set to hear arguments today, according to the article.

Read more...