A group of big contractors that has been battling Longview Power LLC said that they won't oppose a $150 million financial lifeline from the company's lenders intended to keep the West Virginia power plant online, Dow Jones Newswires reported yesterday. Subsidiaries of Norwegian construction company Kvaerner ASA, of Siemens AG, and of German engineering firm Foster Wheeler AG have agreed not to oppose the loan, which promises cash to fix the power plant and get Longview out of bankruptcy. The financing pact is up for bankruptcy court review tomorrow for Longview, which sought bankruptcy protection from creditors in August. With cash running short, the company lined up new financing that it says is enough to see it out of chapter 11. Agreement by the contractors not to get in the way of the new financing was crucial for Longview, because the trio claims rights on the assets that are superior to any new loans.
