Practice Areas & Industries: Jenner & Block LLP

Practice/Industry Group Overview

Jenner & Block's Bankruptcy, Workout and Corporate Reorganization Practice concentrates in corporate restructuring, reorganization, and related litigation. We distinguish ourselves by finding creative and practical solutions to complex business and legal issues. We routinely handle in- and out-of-court corporate restructurings, debt for equity exchanges, workouts, sales and insolvency-related litigation of every size and complexity. Our attorneys provide counsel to many corporations and financial institutions in a wide array of restructuring transactions, workouts and litigation. Members of the practice are Fellows of the American College of Bankruptcy, and several teach bankruptcy law and corporate restructuring at major law schools.

We regularly represent debtors, lenders, creditors' committees and others in the largest restructurings, debt offerings and Chapter 11 cases in the United States. Our clients are public and private companies engaging in exchange offers, other debt for equity conversions, "internal" reorganizations, asset purchases or sales, capital investments and other profit maximizing activities in connection with companies in distress. Jenner & Block also has represented hundreds of clients in high-profile bankruptcy adversary proceedings, contested matters and insolvency-related litigation. Our attorneys have both prosecuted and defended against major fraudulent transfer, preferential transfer, dischargeability and successor liability actions, and have conducted many fraud investigations in connection with bankruptcy cases. Members of the Firm have briefed and argued appeals from bankruptcy decisions in appellate courts throughout the country, including several appeals before the United States Supreme Court.

Services Available

Among the group's more notable matters:

• As debtor's counsel in the Advanced Lighting Technologies, Inc. bankruptcy, Jenner & Block accomplished emergence from a contested and complex Chapter 11 case in ten months with a renewed capital structure and an adequate credit capacity.

• We represent the petitioning Creditors and Unsecured Creditors' Committee of Altheimer & Gray in the involuntary bankruptcy proceedings of this Chicago law firm.

• Jenner & Block served as debtor's counsel in the Chapter 11 bankruptcy of Archibald Candy Corporation, parent company of Fannie May and Fanny Farmer Candy. Additionally, we handled the sale of the assets of the debtor and its Canadian affiliate, which includes the trade names Fannie May, Fanny Farmer, and Sweet Factory.

• The Firm represents a member of the Firm in his role as Conservator and Receiver for Church Extension of God, Inc. and United Management Services, Inc. As Conservator, he protects the interests of the investors who invested or reinvested in Church Extension's note program. The SEC charged the Indiana-based religious entity of defrauding church members nationwide in a $85 million financial and securities offering fraud.

• We represented the Official Trust Originated Preferred Securities Creditors' Committee, representing the interests of these debtholders in the bankruptcy proceedings of Conseco, Inc. and its affiliate Conseco Finance. The Indianapolis based insurance and financial services giant is believed to be the third largest concern to have filed for bankruptcy protection under Chapter 11 of the Bankruptcy Code. The Committee represented approximately $2 billion of debt in the reorganization proceedings.

• We are representing the Chapter 7 Trustee of Consolidated Industries as Special Litigation Counsel, in multi-million dollar bankruptcy litigation pending in the Seventh Circuit Court of Appeals and in the Northern District of Indiana. In a significant win, the bankruptcy court entered a $43.3 million judgment on behalf of the Chapter 7 Trustee, Daniel L. Freeland, against Consolidated Industries' former owner Enodis Corporation, one of the world's largest manufacturers and distributors of foodservice equipment.

• We serve as debtor's counsel to Covanta Energy Corporation in its successful Chapter 11 reorganization proceedings. Covanta operates waste-to-energy, independent power production and water and wastewater treatment plants in the U.S. and abroad, including 55 power generation facilities. Covanta's bankruptcy involved the disposition of numerous non-energy assets and non-core businesses, and the restructuring or elimination of more than $1 billion in debt. Covanta's bankruptcy was largely concluded in 2004 when it emerged from bankruptcy under new ownership with its core energy businesses intact.

• We represent the Official Committee of Unsecured Creditors of F.V. Steel & Wire Company (Keystone Consolidated Industries, Inc.), where we are leading the case constituencies toward a successful reorganization, which involves complex tax, securities, financing and environmental issues.

• We represented the senior secured lender to Jay's Foods and the acquirer of Jay's assets in the Chapter 11 case of this well-known Chicago potato chip producer.

• We are representing McDermott, Inc., the parent company of The Babcock & Wilcox Company, a manufacturer of power generation equipment and industrial boilers, in connection with The Babcock & Wilcox Company's asbestos liability related Chapter 11 proceeding in the U.S. Bankruptcy Court in New Orleans, Louisiana. This representation included the successful defense against fraudulent transfer litigation commenced by the asbestos claimant's committee appointed in the bankruptcy case.

• We represented NextWave in its U.S. Supreme Court victory that returned to NextWave billions of dollars worth of wireless phone spectrum licenses that the Federal Communication Commission had attempted to repossess after the company failed to make installment payments on the licenses while reorganizing under Chapter 11 of the Bankruptcy Code.

• We represent the NKK Litigation Trust, a trust formed pursuant to the confirmed plan for National Steel Corporation which is prosecuting claims against the former owners of the debtor, JFE Steel Corporation f/k/a NKK Corporation, one of the largest steel producers in Japan. At the time it filed in 2002, National Steel was one of the largest steel companies in the United States. Its business has subsequently been purchased by United States Steel.

• We represent the Official Committee of Retired Management and Salaried Employees of UAL Corporation in the United Airlines bankruptcy case. On behalf of the committee, we negotiated an agreement on life insurance benefits which covers more than 27,000 retirees. Combined with the agreement previously announced in May with the Aircraft Mechanics Fraternal Association, this agreement is contemplated to deliver cash savings to the company of more than $300 million through 2010.

• We represent Worldcom as special counsel in numerous matters related to its bankruptcy case, the largest ever filed, including representing Worldcom in its objection to several billion dollars in claims asserted against it by state taxing authorities.

Jenner & Block's Bankruptcy, Workout and Corporate Reorganization Practice recently has been recognized with the following national industry awards:

• M & A Advisor magazine recognized Jenner & Block with its "U.S. Middle Market Deal of the Year" award in 2004 for serving as lead bankruptcy counsel for Archibald Candy Corporation. According to the publisher, the award honors those who "through their hard work and innovation, make significant contributions to the middle market M & A industry."

• The Chicago Chapter of the Turnaround Management Association (TMA) recently selected the post-bankruptcy sale of Archibald Candy Corporation in which Jenner & Block served as lead bankruptcy counsel to Archibald, as its 2004 "Transaction of the Year."

Our attorneys are considered authoratative sources in the industry and are active presenters at and participants in the American Bankruptcy Institute, National Association of Credit Managers, Turnaround Management Association, Illinois CPA Society and its Center for Corporate Financial Leadership that covers seven Midwest states, and the American Bar Association.